Record-Breaking Home Prices: May 2024 Median at $419,300 - NAR Report

United States of America
Demand continues to push prices higher with sales in the $750,000 to $1 million price range up by 13% and sales over $1 million rising nearly 23%
First-time buyers made up 31% of sales and two-thirds of homes went under contract in less than a month
Home prices in the US reached a new record high of $419,300 in May 2024
Inventory of homes for sale increased by 6.7% month-to-month and 18.5% year-over-year to a total of 1.28 million units
Sales of previously owned homes remained relatively stable at 4.11 million units
The Federal Reserve is expected to begin paring back interest rates later this year which may bring down mortgage rates
Record-Breaking Home Prices: May 2024 Median at $419,300 - NAR Report

Home prices in the United States reached a new record high of $419,300 in May 2024, marking an increase of 5.8% compared to the same month last year, according to data from the National Association of Realtors (NAR). This is the highest median price ever recorded by NAR.

Despite these record-breaking prices, sales of previously owned homes remained relatively stable in May, with a seasonally adjusted annual rate of 4.11 million units, down just 0.7% from April and 2.8% from May the previous year.

The inventory of homes for sale saw a significant increase in May, rising by 6.7% month-to-month and 18.5% year-over-year to a total of 1.28 million units.

Sales were unchanged month to month in all regions except the South, where they fell by 1.6%. The biggest change in May was the inventory increase, which is expected to help boost home sales and tame price gains in the upcoming months.

The National Association of Realtors noted that demand continues to push prices higher, with sales of homes priced below $250,000 lower than a year ago. Sales in the $250,001 to $500,00 price range were up just 1%, while sales in the $750,ooo to $1 million range saw an increase of 13% and sales over $1 million rose nearly 23%. Cash remained king in the market, accounting for 28% of sales.

First-time buyers made up 31% of sales, up from the previous year. Two-thirds of homes went under contract in less than a month despite higher prices. However, an increasing number of listings are becoming stale as competition remains strong.

The Federal Reserve is expected to begin paring back interest rates later this year, which should bring down mortgage rates and potentially ease the affordability burden for homebuyers. However, economists do not anticipate the average mortgage rate falling below 6% in 2024.

Despite these challenges, potential homebuyers are still entering the market. The National Association of Realtors reported that sales of previously owned homes were up from decades-low levels in the fall and only edged lower by 0.7% in May.


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Confidence

96%

Doubts
  • The Federal Reserve is expected to begin paring back interest rates later this year. It's uncertain if mortgage rates will fall below 6% in 2024.
  • The inventory increase is expected to help boost home sales and tame price gains in the upcoming months. However, it's unclear how much of an impact this will have.

Sources

94%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Home prices hit record high in May as sales stall

CNBC News Diana Olick Friday, 21 June 2024 14:00
  • Unique Points
    • Sales of previously owned homes are at a 30-year low and didn't move much in May as prices hit a new record and mortgage rates remain high.
    • The average rate on the popular 30-year fixed loan started the month just below 7% and then rose to just over 7.5% by mid-April, before settling back slightly in May, according to Mortgage News Daily.
    • Home sales were unchanged month to month in all regions except the South, where they fell 1.6%.
    • At the current sales pace, there is now a 3.7-month supply.
    • The median price of an existing home sold in May was $419,300, a record-high price and up 5.8% year over year.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (85%)
    The article contains selective reporting and emotional manipulation. The author focuses on the record high home prices and the stalled sales without providing context or mentioning that these record highs are due to a lack of inventory. The author also uses emotive language such as 'so-called existing home sales' and 'refuse to recover' which is intended to elicit an emotional response from readers. Additionally, the author quotes Lawrence Yun making statements about the lack of recovery and the need for more inventory without disclosing that he is the chief economist at NAR.
    • I thought we would see a recovery this spring. We are not seeing it.
    • Record prices That demand continues to push prices higher.
    • Sales of previously owned homes are sitting at a 30-year low and didn’t move much in May as prices hit a new record and mortgage rates remain high.
  • Fallacies (85%)
    The article contains inflammatory rhetoric and appeals to authority. It also presents a dichotomous depiction of the housing market.
    • . . . sales of previously owned homes are sitting at a 30-year low and didn't move much in May as prices hit a new record and mortgage rates remain high.
    • Sales refuse to recover. I thought we would see a recovery this spring. We are not seeing it.
    • The Realtors noted in a release that the mortgage payment for a typical home today is more than double what it was five years ago.
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

86%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

US home prices just hit a record high. Americans are still buying

CNN News Site: In-Depth Reporting and Analysis with Some Financial Conflicts and Sensational Language Bryan Mena Friday, 21 June 2024 14:00
  • Unique Points
    • The median price of a previously owned US home reached a new record high of $419,300 in May, up 5.8% from the previous year.
    • ,
  • Accuracy
    • Inventory of homes for sale jumped by 6.7% month-to-month and 18.5% year-over-year.
    • Median price of an existing home sold in May was $419,300, a record high and up 5.8% year over year.
  • Deception (50%)
    The article is deceptive in its omission of the fact that the median home price increase is driven by a smaller number of more expensive homes selling, rather than an actual increase in median home values. The author also implies that first-time buyers are still entering the market despite high prices, without providing evidence to support this claim.
    • . . .The median price of a previously owned US home climbed for the eleventh consecutive month in May, up 5.8% from a year ago, to $419,300...
    • Still, first-time buyers in the market understand the long-term benefits of owning.
  • Fallacies (85%)
    The article contains inflammatory rhetoric and appeals to authority. It also presents a dichotomous depiction of the housing market.
    • . . . homes in America are the most expensive they've ever been . . .
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication

98%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Home prices hit record high in May as sales stall

NBC Los Angeles Media Inc. Diana Olick,CNBC Friday, 21 June 2024 16:05
  • Unique Points
    • Inventory of homes for sale jumped by 6.7% month-to-month and 18.5% year-over-year.
    • Median price of an existing home sold in May was $419,300, a record high and up 5.8% year over year.
    • Sales of homes priced between $750,000 and $1 million were up nearly 23%.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (100%)
    None Found At Time Of Publication
  • Fallacies (100%)
    None Found At Time Of Publication
  • Bias (100%)
    None Found At Time Of Publication
  • Site Conflicts Of Interest (100%)
    None Found At Time Of Publication
  • Author Conflicts Of Interest (100%)
    None Found At Time Of Publication