Home sales are moving in a seesaw pattern as double-digit home price gains and near-record-low inventory continue to keep aspiring buyers from purchasing a home. Existing-home sales—completed transactions that include single-family homes, townhomes, condos, and co-ops—dropped by 7.2% in February compared to January. Sales are down 2.4% compared to a year ago, the National Association of REALTORS® reported Friday.
“Housing affordability continues to be a major challenge, as buyers are getting a double whammy: rising mortgage rates and sustained price increases,” says Lawrence Yun, NAR’s chief economist. “Some who had previously qualified at a 3% mortgage rate are no longer able to buy at the 4% rate.”
Continue reading: Home Price Sticker Shock Is Stalling Sales