US Existing Home Sales Experience Significant Decline in March

In a concerning trend for the housing market, existing home sales in the United States fell by 5.9% in March compared to the previous month, reaching a seasonally adjusted annual rate of 4.02 million. This data, released by the National Association of Realtors (NAR) on Thursday, also highlighted a 2.4% decrease on an annual basis.

Price and Inventory Trends Highlight Market Challenges

The median sales price for existing homes across all housing types saw a modest increase of 2.7% year-over-year, settling at $403,700. Meanwhile, the total housing inventory at the end of March surged to 1.33 million units, marking an 8.1% rise from the previous month and a significant 19.8% increase compared to March 2024.

Expert Insight: Affordability and Economic Mobility at Risk

"The current affordability challenges, driven by high mortgage rates, have significantly dampened home buying and selling activities in March," explained Lawrence Yun, NAR Chief Economist. He further warned, "With residential housing mobility hitting historical lows, there's a growing concern over the potential reduction in economic mobility for society at large."