NAR chief economist says he's not bothered by the slight declines
Sales of previously owned US homes slightly dropped in April after March’s decline, according to the National Association of Realtors.
Total existing sales ticked down 0.4% from March to a seasonally adjusted annual rate of 5.19 million in April as two of the four major US regions saw decreased sales. A year ago, total sales were down 4.4% to a seasonally adjusted rate of 5.43 million in April.
"First, we are seeing historically low mortgage rates combined with a pent-up demand to buy, so buyers will look to take advantage of these conditions," said NAR Chief Economist Lawrence Yun. "Also, job creation is improving, causing wage growth to align with home price growth, which helps affordability and will help spur more home sales."
April’s median existing-home price for all housing types was $267,300, up 3.6% from $257,900 in April last year. NAR said the price increase marked the 86th consecutive month of year-over-year gains.
Meanwhile, housing inventory at the end of April grew to 1.83 million, up from 1.67 million existing homes available for sale in March and a 1.7% rise from 1.8 million in April 2018.
"We see that the inventory totals have steadily improved, and will provide more choices for those looking to buy a home," Yun said. "When placing their home on the market, home sellers need to be very realistic and aware of the current conditions."
