US home prices reach all-time high while sales slip in June

The National Association of Realtors reported that the median price of an existing U.S. home rose 1.8% year‑over‑year to a record $440,600 in June, marking the 36th consecutive month of price gains. At the same time, existing‑home sales fell 2.4% from May to a seasonally adjusted annual rate of 4.09 million units, below economists’ expectations.

Mortgage rates remained elevated, averaging about 6.5% for a 30‑year fixed loan, which, together with the tight supply of homes (1.56 million listed, roughly 4.6 months of inventory), has intensified affordability pressures for buyers, especially first‑time purchasers. NAR chief economist Lawrence Yun said the market shows how sensitive buyers are to mortgage‑rate fluctuations and that wage growth is still outpacing price growth, but warned that the persistent housing shortage—estimated at about 1.2 million entry‑level homes—could keep prices high.

Congress recently passed a bipartisan housing‑affordability bill that aims to increase supply and limit investment‑firm ownership of single‑family homes. The legislation is awaiting the president’s signature. The combination of record prices, declining sales, high borrowing costs, and limited inventory underscores ongoing challenges in the U.S. housing market.