Existing-Home Sales Slow in April

Total sales in all regions were down both month on month (MoM) and year on year (YoY). April’s seasonally adjusted annual rate (SAAR) of sales at 4.28 million, was off 3.4% from March’s rate and down 23.2% from April 2022.

Compared to the prior month, sales were 1.9% lower in both the Northeast and the Midwest, 3.4% lower in the South, and 6.1% lower in the West.

“Home sales are bouncing back and forth but remain above recent cyclical lows,” commented NAR chief economist Lawrence Yun.

“The combination of job gains, limited inventory and fluctuating mortgage rates over the last several months have created an environment of push-pull housing demand,” Yun added.

The inventory of unsold existing homes rose by 7.2% from March to 1.04 million at the end of April. This was an increase of 1.0% from year-ago levels. Unsold inventory, at 2.9 months at April’s end based on the current sales pace, was higher than 2.6 months at March’s end, and also higher than the 2.2 months registered at the end of April 2022.

The median price for existing homes dropped 1.7% YoY to $388,800. Sales prices were higher in the Northeast and Midwest regions but fell back in the South and West.

“Roughly half of the country is experiencing price gains. Even in markets with lower prices, primarily the expensive West region, multiple-offer situations have returned in the spring buying season following the calmer winter market. Distressed and forced property sales are virtually nonexistent,” Yun noted.

By Laura Miller, laura@steelmarketupdate.com