Existing-home sales saw a minor decline in April, continuing a drop from March, according to the National Association of Realtors (NAR). Two of the four major U.S. regions saw a slight dip in sales, while the West saw growth and the Midwest essentially bore no changes last month.
Total existing-home sales—completed transactions that include single-family homes, townhomes, condominiums and co-ops—fell 0.4 percent from March to a seasonally adjusted annual rate of 5.19 million in April. Total sales are down 4.4 percent from a year ago (5.43 million in April 2018).
Lawrence Yun, NAR’s chief economist, says he is not overly concerned about the 0.4 percent dip in sales and expects moderate growth very soon.
“First, we are seeing historically low mortgage rates combined with a pent-up demand to buy, so buyers will look to take advantage of these conditions,” he explains. “Also, job creation is improving, causing wage growth to align with home price growth, which helps affordability and will help spur more home sales.”
The median existing-home price for all housing types in April was $267,300, up 3.6 percent from April 2018 ($257,900). April’s price increase marks the 86th straight month of year-over-year gains.
Total housing inventory at the end of April increased to 1.83 million, up from 1.67 million existing homes available for sale in March and a 1.7 percent increase from 1.80 million a year ago. Unsold inventory is at a 4.2-month supply at the current sales pace, up from 3.8 months in March and up from 4.0 months in April 2018.