Source: Sharecast
Existing home sales rose by 3.2% in May, also rising 3.2% over 12 months earlier, to 4.17m. That was up from 4.04m in April and well ahead of the 4.07m consensus forecast, marking its highest level since December.
While existing home prices were 1.3% head of last year at a record median level of $429,300, income gains still outpacing inflation, the NAR said. As such, the Housing Affordability Index rose to 105.6 from 97.5 a year earlier, with improvements across all regions.
“More Americans are on the move, with home sales rising to the highest level since December. This is great news for the housing market and the economy,” said Lawrence Yun, NAR’s chief economist.
“Improving affordability is helping drive this momentum. Even with mortgage rates ticking up compared to earlier in the year, they remain lower than a year ago and are essentially at the long-term historical average.”