The U.S. housing market has continued to cool, as rising mortgage rates and record-high sales prices have stifled affordability, weakening demand and pricing out a multitude of buyers. Nationally, median household income has failed to keep pace with increasing mortgage payments, with the costs of buying a home about 80% more expensive now than they were just three summers ago, according to the National Association of REALTORS® (NAR).
As more and more prospective buyers find their home purchase plans delayed, many are turning to the rental market, where competition has intensified due to increased demand.
- Closed Sales decreased 45.0 percent for Detached homes and 38.5 percent for Attached homes.
- Pending Sales decreased 34.7 percent for Detached homes and 32.9 percent for Attached homes.
- The Median Sales Price was up 4.7 percent to $1,020,425 for Detached homes and 17.8 percent to $684,005 for Attached homes.
- Days on Market increased 35.7 percent for Detached homes and 60.0 percent for Attached homes.
- Supply increased 25.0 percent for Detached homes and 30.8 percent for Attached homes.
At a time of year when homebuying activity is typically very strong, soaring homeownership costs have caused home sales to decline nationwide for the fifth consecutive month, with existing-home sales falling 5.4% month to month and 14.2% year-over-year as of last measure, according to NAR. But there is a bright spot. Inventory of existing homes has continued to climb this summer, with 1.26 million homes available at the beginning of July, equivalent to a 3 months’ supply. And despite the summer slowdown, homes are still selling quickly, with the typical home staying on market an average of 14 days.Monthly-0722