US home sales ended 4-month slide in July amid easing rates, more homes on the market
Sales of previously occupied U.S. homes ended a four-month slide in July
LOS ANGELES — Sales of previously occupied U.S. homes ended a four-month slide in July as easing mortgage rates and a pickup in properties on the market encouraged home shoppers.
Existing home sales rose 1.3% last month from June to a seasonally adjusted annual rate of 3.95 million, the National Association of Realtors said Thursday.
Sales fell 2.5% compared with July last year and are running below last year's pace. The latest home sales came in slightly higher than the 3.92 million pace economists were expecting, according to FactSet.
Home prices increased on an annual basis for the 13th consecutive month. The national median sales price rose 4.2% from a year earlier to $422,600. While down slightly from the all-time high set in June, last month's median sales price was the highest on record for the month of July.
“Despite the modest gain, home sales are still sluggish,” said Lawrence Yun, the NAR’s chief economist. “But consumers are definitely seeing more choices, and affordability is improving due to lower interest rates.”
The U.S. housing market has been in a deep sales slump dating back to 2022, when mortgage rates began to climb from pandemic-era lows. Existing home sales sank to a nearly 30-year low last year as the average rate on a 30-year mortgage surged to a 23-year high of 7.79%, according to mortgage buyer Freddie Mac.
Mortgage rates have been mostly easing since reaching 7.22% in early May. This month, the average rate for a 30-year home loan has made its biggest downshift in more than a year, hovering around 6.5%. This week, the rate eased to its lowest level in 15 months.
Still, homeownership remains out of reach for many
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