Home sales in the US fell again in August but price growth continues
Existing home sales in the United States stumbled in August for the fourth time in five months as strained supply levels continue to subdue overall activity, according to the latest index report.
Sales gains in the Northeast and Midwest were outpaced by declines in the South and West as overall Transactions fell 1.7% month on month, meaning that activity was up just 0.2% compared to August 2016.
The data from the National Association of Realtors (NAR) also shows that he median price for all housing types in August was $253,500, % from August 2016 and the 66th month in a row that prices have risen year on year.
According to Lawrence Yun, NAR chief economist, the slump in existing sales stretched into August despite what remains a solid level of demand for buying a home. ‘Steady employment gains, slowly rising incomes and lower mortgage rates generated sustained buyer interest all summer long, but unfortunately, not more home sales,’ he said.
‘What’s ailing the housing market and continues to weigh on overall sales is the inadequate levels of available inventory and the upward pressure it’s putting on prices in several parts of the country. Sales have been unable to break out because there are simply not enough homes for sale,’ he explained.