Updated
Updated · The Associated Press · Jun 9
US Existing Home Sales Climb 3.2% to 4.17 Million as May Prices Hit $429,300 Record
Updated
Updated · The Associated Press · Jun 9

US Existing Home Sales Climb 3.2% to 4.17 Million as May Prices Hit $429,300 Record

3 articles · Updated · The Associated Press · Jun 9

Summary

  • 4.17 million existing-home sales in May marked the fastest annual pace this year and the strongest reading since December, beating economists’ 4.07 million estimate.
  • Improving affordability helped drive the gain: mortgage rates stayed below year-ago levels and home price growth lagged income growth in many markets, even with rates rising through spring.
  • $429,300 was the median sales price, up 1.3% from a year earlier and the highest ever for any May, while first-time buyers made up 35% of purchases—the biggest share since June 2020.
  • 1.55 million homes were on the market at May’s end, up 3.3% from April and equal to a 4.5-month supply, giving buyers more choice but still leaving inventory below pre-pandemic norms.
  • The market remains in a slump that began in 2022, and NAR said a sustained recovery likely depends on 30-year mortgage rates moving closer to 6% after war-driven oil prices pushed borrowing costs higher.

Insights

Is May's housing rebound a sign of strength or a final surge before a potential market downturn?
Amidst global stagflation fears from the Iran war, can the surprising US housing market rebound be sustained?
As war disrupts global energy, will US policy choices make American homes more or less affordable?