MNI: US Aug Existing Home Sales Stronger Than Expected

U.S. existing home sales fell for the seventh straight month in August to a 4.80 million seasonally adjusted annual rate, the weakest since May 2020, or November 2015 pre-pandemic, the National Association of Realtors said Wednesday. Still, the 0.4% decline in the pace of sales over the previous month was smaller than investors had expected. Home sales are down 11% year to date.

The median home sales price fell to USD389,500 from its peak of USD413,800 in June, a typical pattern for the late summer months, though the recent declines are a little larger than usual, NAR chief economist Lawrence Yun said on a call with reporters. The median sales price is 7.7% higher than a year earlier.

"The rising mortgage rate has clearly hampered the housing market," Yun said, noting that the inventory of homes for sale has stayed flat from a year earlier because homeowners are reluctant to give up their low mortgage rates.