The National Association of Realtors (NAR) announced that home sales fell 5.4% month-over-month in June to 5.12 million units, the lowest level since June 2020. It is the fifth consecutive month of declines.
Home sales fell 14.2% in June, with used home sales hurt by rising home prices and mortgage rates.
Equity in the housing market increased 2.4% year-over-year in June to 1.26 million units.
The median home price rose 13.4% to $416,000, a record high.
Looking at home sales and inventory on the market, home sellers took 3.0 months to sell their homes out of inventory, up from 2.6 months last year.
The number of mortgage applicants is the lowest in 22 years.
According to the Mortgage Bankers’ Association (MBA), the number of mortgage applicants fell by 6.3% last week. It reached its lowest level since 2000, due to inflation and rising mortgage rates.
The number of refinancing applications fell by 4% last week and by 80% compared to the same period last year.
The number of applicants for home equity loans fell 7% last week and was down 19% from the same period last year.
The average interest rate on 30-year fixed-rate mortgages for loans up to $647,200 rose to 5.82% from 5.74% a week earlier.