E
xisting-home sales declined in August 2024, according to the National Association of Realtors (NAR). Three out of four major U.S. regions experienced drops, while the Midwest remained unchanged compared to July. Sales fell by 2.5% from July's rate, reaching a seasonally adjusted annual rate of 3.86 million.
Lawrence Yun, NAR Chief Economist, noted that lower mortgage rates and increasing inventory will create an environment for sales to rise in future months. The home-buying process typically takes several months, he added.
Total housing inventory stood at 1.35 million units as of August, a 0.7% increase from July and 22.7% higher than the same period last year. This represents a 4.2-month supply at the current sales rate, up from 3.3 months in August 2023.
The median price for existing homes across all types was $416,700 in August, marking a 3.1% increase from the previous year's figure of $404,200. All four U.S. regions saw price increases.
Properties typically stayed on the market for 26 days in August, compared to 24 days in July and 20 days in August 2023. First-time buyers accounted for 26% of sales, tying a record low last seen in November 2021.
The average 30-year fixed mortgage rate was 6.2% as of September 12, down from 7.18% a year ago, according to Freddie Mac. Single-family home sales fell by 2.8%, while condominium and co-op sales remained steady but were down 11.6% compared to last year.
Regional breakdowns showed that the Northeast saw a 2.0% decrease in sales, with the median price rising 7.7%. The Midwest experienced flat sales, while the South and West saw declines of 3.9% and 2.7%, respectively.
