July 2023
Affordability constraints have continued to limit homebuying activity this summer,
with existing-home sales falling 3.3% month-over-month nationwide as of last
measure, according to the National Association of REALTORS® (NAR). Mortgage
rates have approached 7% in recent months, leading many prospective buyers to
put their home purchase plans temporarily on hold. But higher rates have also kept
many existing homeowners from listing their homes for fear of giving up the low-rate
mortgages they locked in a few years ago, when rates were significantly lower.
New Listings were down 7.1 percent to 1,440. Pending Sales decreased 0.8 percent
to 1,200. Inventory grew 5.5 percent to 1,981 units.
Prices moved higher as Median Sales Price was up 1.2 percent to $277,090. Days
on Market increased 61.9 percent to 34 days. Months Supply of Inventory was up
20.0 percent to 1.8 months, indicating that supply increased relative to demand.
Despite a drop in existing-home sales, home prices have remained near record
highs, with a national median sales price of $410,200 as of last measure, 0.9%
below the all-time high of $413,800 recorded in June 2022, according to NAR. With
only 3.1 months’ supply heading into July, the lack of inventory has boosted
competition among buyers and put upward pressure on sales prices, especially in
more affordable markets, where competition for homes remains particularly strong.
Information courtesy of CMLS*
