Existing home sales fall to lowest level in nearly 30 years

Published On Jan 24, 2025, 4:14 PM

Existing home sales in the U.S. have fallen to their lowest levels in nearly 30 years, with only 4.06 million homes sold on an annual basis, according to a report from the National Association of Realtors. Despite this drop, the median home price has risen to a record high of $407,500, primarily driven by stronger sales in the upper-end market and a general trend of rising prices. Factors such as mortgage rates nearing 7% and a sluggish homebuying sentiment are expected to hinder the sustainability of any recovery in the housing market. However, there were signs of recovery in late 2024, with home sales up 9.3% year-over-year in December, indicating a potential improvement as winter months typically see softer sales.