April home sales decline for ninth consecutive month

Home sales dropped year-over-year in April as selling times shortened and tight inventory moderated, according to the RE/MAX National Housing Report.

Overall, the average number of home sales in April went down 1% compared to the same period last year– marking the ninth month of year-over-year decreases in a row – but rose 10.5% compared to March, which was the largest in five years.

April also saw the median home price of $255,000 rise 3.6%. RE/MAX said it was the smallest year-over-year April increase in eight years. Meanwhile, inventory grew 0.8% for the seventh consecutive month of year-over-year growth.

In addition, the days on market for homes sold in April dropped by seven days, down to 52 days instead of 59. Housing inventory was at a 2.6-month supply in April. A year ago, the average time on market was 51 days, while there was a three-month supply of inventory.

"April's home sales blossomed, suggesting the typical seasonal jump in spring sales arrived later than usual this year," said RE/MAX Chief Executive Officer Adam Contos. "Solid buyer interest and sellers with realistic price expectations advanced the market's march toward equilibrium last month. That said, inventory remains constricted, and prices continue to climb, albeit at a slower rate. All in all, April's results were encouraging, and we continue to be cautiously optimistic about the prospects of a healthy spring selling season."