by Hwang Yoonju
Published 12 May.2026 01:21(KST)
U.S. home sales in April remained stagnant, continuing a sluggish trend.
According to the National Association of Realtors (NAR) on the 11th (local time), existing home sales in the U.S. for April were recorded at 4.02 million units on a seasonally adjusted annualized basis. This figure falls short of the 4.10 million units projected by experts surveyed by Dow Jones and marks only a 0.2% increase compared to March, which was the lowest level in nine months.
Spring is typically considered the most active season for home transactions. However, The Wall Street Journal (WSJ) reported that inflation stemming from the Iran war and rising mortgage rates appear to have had an impact.
At the end of February, just before the Iran war broke out, mortgage rates had fallen below 6%, fueling optimism for a booming spring housing market. However, last week, mortgage rates rose to 6.37%.
Home sale prices have continued to rise year-over-year for 34 consecutive months. In April, the median sales price for existing homes was $417,700, up 0.9% from the same month last year. This is the highest figure for April since related statistics began being compiled in 1999.
Real estate agents and mortgage institutions anticipate that home sales will remain sluggish this year as well. The market has been in a downturn for more than three years since mortgage rates began to climb in 2022. This spring home selling season is also expected to show the same sluggish trend as the past three years.
Jeffrey Ruben, President of WSFS Home Lending, said, "If mortgage rates fall back below 6%, mortgage transaction volumes will increase." However, he added, "But if rates surpass 6.5%, the opposite effect could occur."
Housing inventory also remains insufficient. As of the end of April, existing home inventory stood at 1.47 million units, up 5.8% from the previous month but rising only 1.4% compared to the same period last year. This is still well below the pre-COVID-19 pandemic average of about 2 million units.
The average time on the market for homes sold in April was 32 days, four days longer than the 29 days recorded during the same period last year. Current inventory represents a 4.4-month supply at the current sales pace. Generally, a balanced market is considered to have about 5 to 6 months of supply.
Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), stated, "When mortgage rates fell in February, expectations for economic recovery and the spring market rose, but the oil price shock completely ruined that situation." He added, "It dealt a blow to the momentum of economic recovery and its potential momentum."