Existing Home Sales Dip In March 2024

Existing home sales
Existing home sales pulled back slightly in March 2024, likely due to higher mortgage rates.

The housing market showed signs of a slowdown in March 2024, with existing home sales falling 4.3% compared to February, according to the National Association of Realtors (NAR). This decrease puts the annualized sales pace at 4.19 million.

Year-over-year, sales also dipped 3.7% from March 2023. However, it’s important to note that the housing market in early 2023 was particularly hot, so a slight cool-down might be expected.

Key takeaways from the existing home sales data

  • Existing-home sales fell 4.3% from February to a seasonally adjusted annual rate of 4.19 million in March.
  • Year-over-year, sales are down 3.7% compared to March 2023.
  • Despite the decline, median existing-home prices continued to rise, reaching a record high of $393,500 in March – a 4.8% increase from last year.
  • There’s also a shift in housing inventory. The number of unsold existing homes increased in March, representing a 3.2-month supply at the current sales pace. This is still considered a seller’s market, but it’s a move away from the extreme seller’s market conditions we saw in 2023.

What does the existing home sales data mean for buyers and sellers?

For buyers, this could be a good time to enter the market. With slightly more homes available and potentially less competition from other buyers due to rising rates, you might have more negotiating power.

Sellers may need to be a bit more flexible on pricing and be prepared for their homes to potentially sit on the market a little longer than they might have in the past.

Summary

The National Association of Realtors still forecasts a modest rise in existing-home sales for 2024, with a projected increase of 9%. Whether this prediction holds true will depend on several factors, including how much mortgage rates continue to climb and the overall health of the economy.

As always, a local and knowledgeable real estate agent should be able to assist you with navigating the current housing market. Are you looking to buy or sell a home in the South Florida area? We can help! Contact Natasha at Live South Florida Realty, Inc. today! Also, don’t forget to download the free Florida Home Search app for your smartphone or tablet.

By natasha moore

REALTOR® with Live South Florida Realty, Inc.