US Existing-Home Sales Rise as Buyers Accept High Mortgage Rates

Published On Dec 19, 2024, 10:30 AM

In November, existing-home sales in the US increased to an annualized rate of 4.15 million, marking a rise of 4.8% from the previous month. This growth suggests that buyers are becoming more comfortable with higher mortgage rates, which are currently above 6%. Although the housing market has experienced stagnant sales over the past two years, inventory levels are starting to rise as more sellers adapt to the current borrowing costs. Despite the increase in sales, affordability remains a significant issue, with the median home price hitting a record of $406,100, up 4.7% year-over-year. The market is still below pre-pandemic trends, and annual sales are projected to be lower than last year's figures, which were already the lowest since 1995.