The National
Association of Realtors (NAR) announced on Thursday that the U.S. existing home
sales fell 4.3 per cent m-o-m to a seasonally adjusted rate of 4.19 million in March
from an unrevised 4.38 million in February. This was the first
drop in three months.
Economists had forecast
home re-sales declining to a 4.20 million-unit pace last month.
In y-o-y terms,
existing-home sales decreased 3.7 per cent in March.
Across regions,
existing-home sales dropped in the West (-8.2 per cent m-o-m), South (-5.9 per
cent m-o-m), and Midwest (-1.9 per cent m-o-m), but increased in the Northeast (+4.2 per cent m-o-m). Compared to March 2023, all
four regions - the South (-5.0 per cent), Northeast (-3.8 per cent), West (-3.7
per cent), and Midwest (-1.0 per cent) - demonstrated declines in sales.
Over the
reviewed period, the median existing-home price for all housing types soared 4.8
per cent y-o-y to $393,500. This represented the ninth straight
month of year-over-year gains in median existing-home price.
Single-family
home sales came in at a seasonally-adjusted annual rate of 3.80 million in March,
down 4.3 per cent m-o-m and 2.8 per cent y-o-y. Meanwhile, existing condominium and co-op sales were registered
at a seasonally-adjusted annual rate of 390,000 units in March, down 4.9 per
cent m-o-m and 11.4 per cent y-o-y.
Commenting on
the latest data, Lawrence Yun, NAR chief economist, noted that though
rebounding from cyclical lows, home sales are stuck because interest rates have
not made any major moves. “There are nearly six million more jobs now compared
to pre-COVID highs, which suggests more aspiring home buyers exist in the market,”
he added.