Existing-home sales climbed in December, according to the National Association of Realtors (NAR). Sales advanced in three U.S. regions and slipped in the Midwest. Year-over-year, sales accelerated in all four regions.
On an annual basis, existing-home sales (4.06 million) declined to the lowest level since 1995, while the median price reached a record high of $407,500 in 2024.
Total existing-home sales rose 2.2 percent from November to a seasonally adjusted annual rate of 4.24 million in December. Year-over-year, sales rose 9.3 percent, up from 3.88 million in December 2023.
“Home sales in the final months of the year showed solid recovery despite elevated mortgage rates,” NAR Chief Economist Lawrence Yun said. “Home sales during the winter are typically softer than the spring and summer, but momentum is rising with sales climbing year-over-year for three straight months. Consumers clearly understand the long-term benefits of homeownership. Job and wage gains, along with increased inventory, are positively impacting the market.”
Total housing inventory registered at the end of December was 1.15 million units, down 13.5 percent from November but up 16.2 percent year-over-year. Unsold inventory was at a 3.3-month supply at the current sales pace, down from 3.8 months in November but up from 3.1 months in December 2023.
The median existing-home price for all housing types in December was $404,400, up 6 percent from a year ago ($381,400). All four U.S. regions posted price increases.
“The median home price was elevated partly due to the upper-end market’s relative better performance,” Yun added. “Sales rose by 35 percent from a year ago for homes priced above $1 million, while sales fell for homes priced under $250,000.”
First-time homebuyers were responsible for 31 percent of sales in December, up from 30 percent in November and 29 percent in December 2023.
Cash sales accounted for 28 percent of transactions in December, up from 25 percent in November but down from 29 percent in December 2023.
In December, existing-home sales in the Northeast grew 3.9 percent month-over-month from November to an annual rate of 530,000, up 10.4 percent year-over-year. The median price in the Northeast was $478,900, up 11.8 percent from last year.
In the Midwest, existing-home sales slid 1 percent in December to an annual rate of 990,000, up 6.5 percent year-over-year. The median price in the Midwest was $298,600, up 9 percent year-over-year.
Existing-home sales in the South increased 3.2 percent from November to an annual rate of 1.93 million in December, up 9 percent year-over-year. The median price in the South was $361,800, up 3.4 percent year-over-year.
In the West, existing-home sales rose 2.6 percent to an annual rate of 790,000, up 12.9 percent year-over-year. The median price in the West was $614,500, up 6 percent year-over-year.