I typically report statistics for our coverage areas of Stark, Carroll, and Trumbull counties. But how is the market in the rest of the country?
Breaking things down by region, in the North East existing home sales were flat from May to June this year at 670,000. However, home sales were down from June 2021 to June 2022 by 11.8 %. Median selling prices jumped 10.1% to $453,300.
In the Midwest, starting in May, sales of existing homes fell 1.6% in June 2022 to a rate of $1.23 million. Compared to June 2021, home sales in June 2022 were down 9.6%. Median sale prices for the Midwest were $306,900 in June 2021 and increased a year later by 10.2%.
In the South, sales of existing homes fell 6.2% in June compared to May of this year. Compared to June 2021, sales decreased 14.1% to an annual rate of $2.26 million in June 2022. The median selling price in the South increased 16.8% from 374 $900.
Finally, the West declined from May to June 2022 by 11.1% from the annual rate of $960,000. Year over year, existing home prices are down 21.3% from June 2021. And the median sale price in the West is $624,000, an increase of 9.6% compared to June 2021.
According to the National Association of Realtors, sales of existing homes fell for the fifth consecutive month. Compared to June 2021, home sales fell 14.2% from $5.97 million in June 2021. However, home inventory was up 9.6% from last month. Compared to June 2021, inventory was up 2.4% to $1.23 million. As a result, median selling prices increased 13.4% from June 2021, from $366,900 to $416,000. The number of days on the market decreased last month, from 16 days to 14 days this month. Compared to June 2021, days on market have steadily decreased by 17 to 14 days this year.
According to NAR, first-time home buyers accounted for 30% of sales in June 2022, compared to 31% in June 2021. Investors and second home buyers accounted for 16% of sales in June, compared to 14% last year. Additionally, 25% of sales were cash transactions in June, compared to 23% in June 2021. Lower days in the market suggest some are pricing their homes correctly. While more expensive homes stay on the market longer, this deters some potential buyers.
With rising inflation pushing up interest rates and rising house prices, housing affordability remains a daunting challenge for many. To lower interest rates, inflation must be contained. Until that happens, housing affordability will remain a challenge.
Marlin Palich is President of Stark Trumbull Area Realtors, which serves Stark, Carroll and Trumbull counties. Visit www.star.realtor for a complete listing of Realtors and Affiliate Members. If you have questions or comments about this article, contact Cosgrove at [email protected]