US Existing Home Sales Remain Near Historic Lows Despite Supply Increases
According to the National Association of Realtors, the sales of existing single-family homes in the United States increased by 3.5% from April to May, reaching a seasonally adjusted annual rate of 3.80 million. The supply of homes available rose to 4.5 months, marking the highest level for May since 2016. Meanwhile, condo and co-op sales remained steady at 370,000 annualized for the fourth month in a row. The median price for single-family homes nationwide saw a year-over-year increase of 1.3%, reaching $434,300. While 15 major markets experienced price declines of 10-26%, New York City and Milwaukee saw increases of 5.1% and 3.7%, respectively. As of June 4, the average rate for a 30-year fixed mortgage stood at 6.48%. The article links the ongoing affordability crisis to the Federal Reserve's quantitative easing measures implemented during the pandemic.
Key facts
- Existing single-family home sales rose 3.5% month-over-month in May to 3.80 million annualized.
- Single-family home supply reached 4.5 months in May, highest for that month since 2016.
- Condo/co-op sales remained at 370,000 annualized for the fourth straight month.
- Condo supply for April was revised up to 6.3 months, highest since April 2012.
- National median single-family home price rose 1.3% year-over-year to $434,300.
- Prices dropped 10-26% in 15 major markets, with Austin down 26% and Oakland down 25%.
- Condo prices fell 15-33% in 24 markets from peaks; Cape Coral down 33%.
- Average 30-year fixed mortgage rate was 6.48% as of June 4.
- Sales in West and Northeast down 32% and 31% respectively from May 2019.
- Author blames Fed's QE for pandemic-era price surge and current affordability crisis.
Entities
Institutions
- National Association of Realtors
- Freddie Mac
- Federal Reserve
- Wolf Street
- YCharts
- WOLF STREET
Locations
- United States
- Austin
- Texas
- Oakland
- California
- New Orleans
- Louisiana
- Sarasota County
- Florida
- New York City
- New York
- Milwaukee
- Wisconsin
- Cape Coral
- Petersburg
- Fort Myers
- Garland
- West
- Northeast
- South
- Midwest
- CA
- FL
- TX
- Lee County
- Houston
- Dallas
- Manhattan
- Austin, TX
- Oakland, CA
- New Orleans, LA
- Sarasota County, FL
- Cape Coral, FL
- Petersburg, FL
- Fort Myers, FL
- Garland, TX
- Tampa, FL
- Chicago
Sources
- Wolf Street —
- Wolf Street —
- Wolf Street —
- Wolf Street —
- Wolf Street —
- Wolf Street —