{"id":19104,"date":"2022-07-20T10:00:29","date_gmt":"2022-07-20T15:00:29","guid":{"rendered":"https:\/\/theamericangenius.com\/housing\/?p=19104"},"modified":"2022-07-20T10:03:25","modified_gmt":"2022-07-20T15:03:25","slug":"home-sales-dip-5-4-in-june-days-on-market-hit-historic-low","status":"publish","type":"post","link":"https:\/\/theamericangenius.com\/housing\/big-data\/home-sales-dip-5-4-in-june-days-on-market-hit-historic-low\/","title":{"rendered":"Home sales dip 5.4% in June, days on market hit historic low"},"content":{"rendered":"

For a fifth consecutive month, the volume of existing home sales dipped by 5.4%<\/strong> in June from May<\/a> to a seasonally adjusted annual rate of 5.12 million, according to the National Association of Realtors (NAR). Home sales are down 14.3% compared to June of 2021. <\/p>\n

NAR data indicates that home sales fell in all four regions annually, and saw declines between May and June nationwide except for in the Northeast where they stagnated. <\/p>\n

\n

\u201cBoth mortgage rates and home prices have risen too sharply in a short span of time.\u201d Dr. Lawrence Yun<\/p><\/blockquote>\n<\/figure>\n

The median home sale price spiked 13.4% from a year ago to $416,000<\/strong>, a new record high and the 124th month in a row of annual increases, the longest-running streak on record.<\/p>\n

Another record was hit in June with average days on market falling to 14 days<\/strong> (down from 17 days in June 2021), with prices rising in all regions. Since NAR began recording this data point in 2011, it has never fallen this low. <\/p>\n

\u201cFalling housing affordability continues to take a toll on potential home buyers,\u201d said NAR Chief Economist, Dr. Lawrence Yun. \u201cBoth mortgage rates and home prices have risen too sharply in a short span of time.\u201d<\/strong><\/p>\n

Practitioners feeling a shift in the market are right – we’re in new territory now. <\/p>\n

Meanwhile, inventory rose to 12.6 million, or 3.0 months at the current monthly sales pace<\/strong>. That feels like relief in a sector where inventory has remained restrictively tight in recent years, but a 2.4% annual increase is still not enough to alleviate pressure on the market. <\/p>\n

Dr. Yun has said hundreds of times over the years that new home construction is the only meaningful answer, but with housing starts just hitting their lowest level since September<\/a>, no one is holding their breath for relief. <\/p>\n

\u201cFinally, there are more homes on the market,\u201d Dr. Yun observed. \u201cInterestingly though, the record-low pace of days on market implies a fuzzier picture on home prices<\/strong>. Homes priced right are selling very quickly, but homes priced too high are deterring prospective buyers.\u201d<\/p>\n

For years, first time home buyers accounted for 33-34% of sales, and are now down to 30%<\/strong>, but up from 27% in May. This metric is used to gauge the health of the market, and when first time buyers are edged out of the market, there are problems at hand.<\/p>\n

Individual investors or second home buyers accounted for 16% of all home sales in June, and all-cash sales accounted for 25% of sales, both unchanged from May.<\/strong> <\/p>\n

\"existing<\/p>\n","protected":false},"excerpt":{"rendered":"

Existing home sales fell in June, the median home price hit a historic high, and the average days on market also hit a historic low. Combined with rising interest rates squeezing even more folks out of the market, the housing market is in new territory.<\/p>\n","protected":false},"author":335811,"featured_media":19105,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"wds_primary_category":0,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[91],"tags":[341,1234],"class_list":["post-19104","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-big-data","tag-existing-home-sales","tag-real-estate-news"],"jetpack_featured_media_url":"https:\/\/theamericangenius.com\/housing\/wp-content\/uploads\/sites\/2\/2022\/07\/existing-home-sales-houses.jpg","jetpack_sharing_enabled":true,"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/19104","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/users\/335811"}],"replies":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/comments?post=19104"}],"version-history":[{"count":8,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/19104\/revisions"}],"predecessor-version":[{"id":19114,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/posts\/19104\/revisions\/19114"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/media\/19105"}],"wp:attachment":[{"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/media?parent=19104"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/categories?post=19104"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/theamericangenius.com\/housing\/wp-json\/wp\/v2\/tags?post=19104"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}