The real estate market has been dynamic in recent months, with significant fluctuations in both existing home sales and new home sales. Here’s a snapshot of the latest month-over-month (MoM) and year-over-year (YoY) statistics:
Existing Home Sales
Month-over-Month (MoM):
– Existing home sales saw a slight decline of 0.9% in June 2024 compared to May 2024. This drop is attributed to rising mortgage rates and limited inventory, which have made it more challenging for buyers to find affordable homes.
Year-over-Year (YoY):
– On a YoY basis, existing home sales are down by 18.9% from June 2023. The ongoing affordability crisis, driven by higher interest rates and home prices, has significantly impacted buyer activity over the past year.
New Home Sales
Month-over-Month (MoM):
– New home sales experienced a sharp decline of 10.6% in May 2024 compared to April 2024. This significant drop reflects the challenges in the new home market, including rising construction costs and higher mortgage rates that have deterred potential buyers.
Year-over-Year (YoY):
– On a YoY basis, new home sales have fallen by 20% from May 2023. The steep decline highlights the impact of economic uncertainties and affordability issues, which have dampened demand for new constructions.
Analysis
The contrasting trends between existing and new home sales highlight a market that is adapting to current economic conditions. While higher interest rates have cooled both the existing and new home markets, the decline in new home sales is particularly pronounced due to the combined pressures of increased construction costs and economic uncertainties.
Looking Ahead
As we move further into 2024, monitoring these trends will be crucial for understanding the housing market’s trajectory. Factors like interest rates, housing policies, and economic conditions will continue to play pivotal roles in shaping buyer and seller behaviors.
Stay tuned for more updates and in-depth analysis on the real estate market as we navigate these fluctuating times.
For more detailed information, check out the latest reports from reliable sources such as the National Association of Realtors and the U.S. Census Bureau.
—
Sources:
– [National Association of Realtors (NAR)](https://www.nar.realtor)
– [U.S. Census Bureau](https://www.census.gov)
– [ZeroHedge](https://www.zerohedge.com/personal-finance/us-new-home-sales-crashed-may)
