Article Attachment

The attached file contains this articles commentary as well as tables and charts of the data.
Download Attachment

Existing Home Sales: Slower Pace But Higher Prices

April 22, 2021
Bottom Line: Sales were lower than expected in March as the median home price hit a record high. Sales skewed towards higher-priced homes as inventories crept higher for the first time in several months but remained historically low.  The months' supply, at 2.1 months, edged higher for the first time since last May. This figure is still roughly half its pre-pandemic average, suggesting the housing market remains very tight.  Overall the trend remained historically strong if cooling just slightly due to lower affordability with higher prices and higher mortgage rates.  Housing activity will remain an important driver of economic growth in the recovery as the underlying trends confirm a secular shift away from more dense, urban living towards single-family homes.
Existing Home Sales FELL by 3.7% in March to 6.01 million, compared with market expectations for a decline to 6.11 million. The prior month was revised up from 6.22 to 6.24 million. Home re-sales are now 12.3% ABOVE their year-ago level.
The Inventory of Homes Available for Sale
ROSE by 3.9% to 1,070k but are still 28.2% BELOW  their year-ago level. Because inventories increased while sales declined, the Months Supply ROSE to 2.1 months from 2.0 months.  This is BELOW the 6-month level that is considered 'normal'.
Home Prices
ROSE compared to their year-ago levels. Average home prices are 12.4% ABOVE their year-ago levels while median home prices are 17.2% ABOVE their year-ago levels.