Existing Home Sales Drop 5.4 Percent But Median Price Hits New Record -

Existing Home Sales Drop 5.4 Percent But Median Price Hits New Record

Jul 23, 2024Jeremy ParkinsonFinance0

Existing-home sales courtesy of the National Association of Realtors (NAR)Sales are down 38.6 percent from the January 2022 high and barely above the October 2023 low (yellow highlights).The NAR reports Existing-Home Sales Slipped 5.4% in June; Median Sales Price Jumps to Record High of $426,900
Key Highlights

Existing-home sales faded 5.4% in June to a seasonally adjusted annual rate of 3.89 million. Sales also slumped 5.4% from one year ago.

The median existing-home sales price bounced 4.1% from June 2023 to $426,900 – the second straight month it reached an all-time high and the twelfth consecutive month of year-over-year price gains.

Existing condominium and co-op sales tumbled 7.5% in June to a seasonally adjusted annual rate of 370,000 units, down 14% from one year ago (430,000 units). The median existing condo price was $371,700 in June, up 2.6% from the previous year ($362,200).

The inventory of unsold existing homes rose 3.1% from the previous month to 1.32 million at the end of June, or the equivalent of 4.1 months’ supply at the current monthly sales pace. The monthly supply of inventory reached its highest level in more than four years

First-time buyers were responsible for 29% of sales in June, down from 31% in May but up from 27% in June 2023.

All-cash sales accounted for 28% of transactions in June, unchanged from May and up from 26% one year ago.

Existing-Home Sales Percent Change from Month Ago Existing-home sales are down for the 23rd time in 29 months.Sales were below the lowest estimate of any economist is the Bloomberg economists’ poll.
Existing-Home Sales Supply At the existing rate of sales, supply is 4.1 months. Supply is the highest in over four years.
Existing-Home Sales Percent Change from Year Ago
Sales were falling so fast that year-over-year numbers were increasingly easy to beat. But things reversed lower after getting to -1.7 percent year-over-year.From a year ago sales are down 5.4 percent and falling again. Sales are down 38.6 percent from the January 2022 high.Hoot of the Day“We’re seeing a slow shift from a seller’s market to a buyer’s market,” said NAR Chief Economist Lawrence Yun.Yeah tell me about it with prices at a record high, mortgage rates close to 7 percent and the economy sinking fast.
Signs of Severe Credit Card and Auto Loan Stress in Generation ZThe people who most want to buy a house, can’t because they can neither afford a house nor the rent they are paying.That has been an explicit theme of mine since February.The economy is slowing and that will hit the zoomers first and the hardest, especially renters.
Candidate Preference by Age Group
An amazing 41 percent of those 18-34 are for Trump with only 30 percent for Biden.That’s an unprecedented 11 percentage point gap for Republicans. In 2020 this age group voted overwhelmingly for Biden.I discussed the above poll and also candidate preference by race in Post-Debate USA Today-Suffolk Poll Has Grim News for President BidenI tie all of the economics and politics together in my post Signs of Severe Credit Card and Auto Loan Stress in Generation ZIf age group 18-35 sticks with Trump (or Kennedy) I do not think Harris can win.