The National Association of Realtors is reporting that existing home sales were down 2.4% in March to a seasonally-adjusted annual rate of 4.44 million (down 22% year over year). Total housing inventory at the end of March was 980k units, up 1% from February and 5.4% from one year ago. Unsold inventory sits at a 2.6-month supply at the current sales rate with properties remaining on the market for around 29 days. The median existing-home price for all housing types in March was $375,700, down 0.9% from one year ago. The NAR said individual investors or second-home buyers (who comprise many cash sales) purchased 17% of homes in March.
“Home sales are trying to recover and are highly sensitive to changes in mortgage rates…Yet, at the same time, multiple offers on starter homes are quite common, implying more supply is needed to fully satisfy demand. It’s a unique housing market.” Said the NAR’s Chief Economist, Lawrence Yun.