The National
Association of Realtors (NAR) said on Thursday that the U.S. existing home
sales declined by 5.9 per cent m-o-m to a seasonally adjusted rate of 4.02 million
in March from an upwardly revised 4.27 million (from 4.26 million) in February.
This marked the steepest monthly drop in existing home sales since November 2022 (-6.7 per cent m-o-m) and
the lowest rate since October 2024 (3.96 million).
Economists had predicted
home re-sales to ease to a 4.13 million-unit pace last
month.
In y-o-y terms,
existing home sales dropped 2.4 per cent in March.
According to
the report, all four major regions posted decreases in existing-home sales in March,
led by the West (-9.4 per cent m-o-m). In y-o-y terms,
sales fell in the South (-4.2 per cent) and Midwest (-3.1 per cent), rose in
the West (+1.3 per
cent) and were unchanged in the Northeast.
Over the
reviewed period, the median existing home price for all housing types increased
2.7 per cent y-o-y to $403,700, underpinned by gains in prices in all four U.S. regions. That
marked the 21st straight month of year-over-year advances in median existing-home
price.
Single-family
home sales came in at a seasonally-adjusted annual rate of 3.64 million in March,
down 6.4 per cent m-o-m and 2.2 per cent y-o-y. Meanwhile, existing condominium and co-op sales were recorded
at a seasonally-adjusted annual rate of 380,000 units last month, unchanged m-o-m and down 5.0 per cent y-o-y.
Commenting on
the latest data, Lawrence Yun, NAR chief economist, noted that home buying and
selling remained sluggish in March due to the affordability challenges
associated with high mortgage rates. “Residential housing mobility, currently
at historical lows, signals the troublesome possibility of less economic
mobility for society,” he added.