Real Estate News

The numbers:

Sales of previously-owned homes in the U.S. fell 3.4% in April for the second month in a row, as buyers continue to deal with low levels of home listings and see-sawing mortgage rates.

Sales of existing homes in the U.S. fell to an annual rate of 4.28 million in April, the National Association of Realtors said Thursday.

That’s the number of homes that would be sold over an entire year if sales took place at the same rate in every month

The U.S. housing market continues to make headlines. According to the National Association of Realtors (NAR), sales of previously-owned homes fell 3.4% in April, marking the second consecutive monthly drop. Existing home sales now sit at an annual rate of 4.28 million, down 23.2% from April 2022.

While some might see this as a sign to wait, savvy buyers and sellers know that today’s market is full of opportunity for those who act strategically.

Home Prices: A Temporary Dip With Opportunity

The median price for an existing home fell by 1.7% to $388,800, the largest drop since January 2012. After the historic peak in May 2021, when home prices grew over 25% annually, this adjustment is giving buyers a window to purchase without the extreme premiums seen during the pandemic.

Sellers, on the other hand, can still capitalize on historically strong equity in many regions, even amid cooling prices. With proper strategy and expert guidance, homeowners can maximize returns while navigating volatile mortgage rates.

Inventory Is Still Tight

Despite a 7.2% increase in homes on the market, fresh listings remain below last year’s levels, and homes are selling fast—average days on market dropped to just 22 days. Limited supply keeps competition high, particularly in hot DMV areas like DC, Northern Virginia, and Maryland suburbs.

This is where working with an experienced realtor is crucial: I can help you spot hidden inventory, leverage off-market opportunities, and act quickly before another buyer snatches your dream home.

Mortgage Rates Are See-Sawing

Mortgage rates recently climbed to 6.57%, the highest level in two months. While some buyers hesitate due to rising rates, lock-in strategies, rate buy-downs, and financial guidance can help make homeownership attainable even in today’s climate.

Why You Need a Realtor Now

First-time buyers account for just 29% of purchases, so expert guidance ensures you’re competitive.

Investors and second-home buyers still make up 17% of sales, creating opportunities for savvy market moves.

All-cash buyers dominate 28% of transactions—without professional support, competing in this market can be daunting.

Working with a realtor gives you the edge to navigate tight inventory, volatile rates, and competitive bidding.

Looking Ahead

Economists expect a gradual recovery, supported by rising housing starts and strong labor market conditions. Still, uncertainty remains, making timely decisions critical. Those who wait may find limited options or higher prices as demand persists.

Take Action Today

The housing market may feel unpredictable, but with the right strategy, you can win whether buying, selling, or investing. I specialize in helping clients in the DMV area—from DC to Northern Virginia and Maryland—capitalize on opportunities and avoid costly mistakes.

If you’re ready, willing, and able to make a move, there’s no better time to partner with a realtor who knows the market and will fight for your advantage.

📞 Contact me today to explore the best properties, secure competitive financing, and make your move before the next wave of buyers does.

Has it been done in April? The numbers are seasonally adjusted.

The drop in sales wasn’t as bad as what economists on Wall Street had expected. They forecast existing-home sales to total 4.26 million in April.

But compared with April 2022, home sales were down 23.2%.

Key details:

The median price for an existing home fell by 1.7% from last April to $388,800 this year. The drop is the largest since January 2012, when home prices fell 2%.

Home prices peaked in May 2021, where they grew 25.2% annually.

The number of homes on the market rose by 7.2% in April to 1.04 million units. But the number of fresh listings is still down from a year ago, the NAR said.

Homes listed for sale remained on the market for 22 days on average, down from 29 days in March.

Sales of existing homes fell in all regions, with the sharpest drop in the West.

All-cash buyers made up 28% of sales. The share of individual investors or second-home buyers was 17%. About 29% of homes were sold to first-time home buyers.

Big picture:

Despite home sales dipping in April, most of the housing data indicate that the U.S. housing market is in broad recovery.

But a combination of issues is making it a slow one, from a lack of new home listings to see-sawing mortgage rates.

Many homeowners are reluctant to sell for two reasons: They may be reluctant to give up an ultra-low mortgage rate secured during the pandemic for a much higher one, and they also don’t want to deal with competition

Homebuilders are responding to the inventory crunch by bumping up construction of new homes. Housing starts, which refer to when a builder starts constructing a home, rose in April. Rates, on the other hand, are volatile: The 30-year mortgage rose to the highest level in two months to 6.57% as of May 12, the Mortgage Bankers Association said on Wednesday. It was 6.48% the previous week.

Given the underlying issues on supply and rates, sentiment among U.S. consumers regarding the housing market has worsened: The number of people who think it’s a bad time to buy a home has hit a 45-year high.

What the realtors said:

“The housing market–at least home sales–is still struggling to recover,” Lawrence Yun, chief economist at the National Association of Realtors, said.

Aside from higher rates, “there’s just simply not enough inventory,” he noted.

Yun also said that the NAR was sharing the idea of addressing the capital gains tax with members of Congress as a way to encourage more homeowners to sell their homes to ease the inventory shortage.

What are they saying?

“The very strong underwriting standards during the last housing expansion, along with solid labor market conditions, will reduce the risk of defaults and forced selling going forward,” Thomas Simons, U.S. economist at Jefferies, wrote in a note.

“The housing sector is already in a recession, but we don’t expect consumption to contract significantly until a cycle of mass layoffs begins, likely during Q3,” he added.

Market reaction:

Stocks were up in early trading on Thursday. The yield on the 10-year note rose above 3.6%.