U.S. Existing Home Sales Reach a Five-Month High in May, Third M/M Gain in Four Months
Summary
- May sales +3.2% m/m to higher-than-expected 4.17 mil.; +3.2% y/y, second straight y/y rise.
- Sales m/m up in the Midwest (+6.4%), South (+3.2%), and Northeast (+2.2%), flat in the West; sales y/y up in all regions except the Northeast (-8.0%).
- Median sales price +2.8% (+1.3% y/y) to $429,300, highest since June ’25.
- Unsold inventory +3.3% (+0.6% y/y) to 10-month-high 1.55 mil. units; 4.5 months' supply.
Existing home sales advanced 3.2% m/m (3.2% y/y) to 4.17 million units (SAAR) in May, the third m/m increase in four months and the highest level since December, following an upwardly revised 0.7% rebound to 4.04 million in April (previously +0.2%; 4.02 mil.), according to the National Association of Realtors (NAR). The Action Economics Forecast Survey had expected May sales of 4.05 million units. Sales remained 35.1% below a high of 6.43 million in January 2022 and 36.8% below a peak of 6.60 million in January 2021. The May gain coincided with a rise in the average 30-year fixed mortgage rate to 6.44% in May, the highest since August 2025, after increasing to 6.33% in April, according to Freddie Mac. The sales figures are based on closings of sales contracts signed over the past couple of months.
Existing single-family home sales rose 3.5% (3.3% y/y) to 3.80 million units in May—the third m/m rise in four months and the highest level since December—following a 0.8% gain to 3.67 million in April, while remaining 33.3% below a high of 5.70 million in January 2022. Sales of condos and co-ops were unchanged m/m (+2.8% y/y) at 370,000 for the third successive month, remaining 49.3% below a high of 730,000 in January 2022.
Regionally, May existing home sales rose m/m in almost all regions, with the West unchanged. Sales in the Midwest climbed 6.4% (2.0% y/y) to 1.00 million in May, the highest level since December 2024, following a 1.1% gain in April, and sales in the South rose 3.2% (5.9% y/y) to 1.96 million, a five-month high, after a 2.2% April rebound; both posted the third m/m increase in four months. Sales in the Northeast grew 2.2% (-8.0% y/y) to 460,000 in May after registering at 450,000 in April and March. Sales in the West were flat m/m (+5.6% y/y) at 750,000 after a 2.6% April decline. Notably, the South remained the dominant region, accounting for 47.0% of total U.S. existing home sales.
The median price of all existing homes (NSA) rose 2.8% (1.3% y/y) to $429,300 in May, the fourth consecutive m/m rise, on top of a 2.1% increase to $417,500 in April ($417,700 previously). Prices were 0.8% below a high of $432,700 in June 2025 but 19.0% above a low of $360,800 in January 2023. The median price of an existing single-family home climbed 2.9% (1.3% y/y) to $434,300 in May, the fourth straight m/m increase and the highest since June 2025, after a 2.1% rise to $421,900 in April. The median price of condos and co-ops, up for the fifth time in six months, rose 1.2% (1.7% y/y) to a record-high $378,200 following a 1.6% April gain to $373,900. Regionally, overall prices rose m/m in May in the Northeast (+7.1%; +4.2% y/y), Midwest (+2.9%; +2.8% y/y), South (+1.7%; +1.1% y/y), and West (+1.2%; -0.7% y/y).
Inventories of homes for sale rose for the fifth consecutive month in May. The number of existing homes for sale (NSA) increased 3.3% (0.6% y/y) to 1.55 million units, the highest level since July 2025, following a 7.9% April rise to 1.50 million. The supply of homes on the market at the current selling rate (NSA) held at 4.5 months in May and April, the highest since September 2025, up for 4.2 months in March. The recent high of 4.6 months was in August 2025, while a record low in supply of 1.6 months was in January 2022.
The data on existing home sales, prices and affordability are compiled by the National Association of Realtors. The data on single-family home sales extend back to February 1968. Total sales and price data and regional sales can be found in Haver's USECON database. Regional price and affordability data and national inventory data are available in the REALTOR database. Mortgage interest rates can be found in the WEEKLY database. The expectations figure is from the Action Economics Forecast Survey, reported in the AS1REPNA database.
Winnie Tapasanun
AuthorMore in Author Profile »Winnie Tapasanun has been working for Haver Analytics since 2013. She has 20+ years of working in the financial services industry. As Vice President and Economic Analyst at Globicus International, Inc., a New York-based company specializing in macroeconomics and financial markets, Winnie oversaw the company’s business operations, managed financial and economic data, and wrote daily reports on macroeconomics and financial markets. Prior to working at Globicus, she was Investment Promotion Officer at the New York Office of the Thailand Board of Investment (BOI) where she wrote monthly reports on the U.S. economic outlook, wrote reports on the outlook of key U.S. industries, and assisted investors on doing business and investment in Thailand. Prior to joining the BOI, she was Adjunct Professor teaching International Political Economy/International Relations at the City College of New York. Prior to her teaching experience at the CCNY, Winnie successfully completed internships at the United Nations. Winnie holds an MA Degree from Long Island University, New York. She also did graduate studies at Columbia University in the City of New York and doctoral requirements at the Graduate Center of the City University of New York. Her areas of specialization are international political economy, macroeconomics, financial markets, political economy, international relations, and business development/business strategy. Her regional specialization includes, but not limited to, Southeast Asia and East Asia. Winnie is bilingual in English and Thai with competency in French. She loves to travel (~30 countries) to better understand each country’s unique economy, fascinating culture and people as well as the global economy as a whole.
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