Existing US home sales rose in June; prices hit new highs

Alex Viega
Associated Press

Sales of previously occupied U.S. homes rose in June, snapping a four-month losing streak, while strong demand for higher-end properties and ultra-low mortgage rates helped push prices to new highs.

Existing homes sales rose 1.4% last month from May to a seasonally-adjusted annual rate of 5.86 million units, the National Association of Realtors said Thursday. Sales jumped 22.9% from June last year.

A real estate sign is posted in front of a newly constructed single family home in Auburn, N.H.

Economists were expecting that sales increased to an annual rate of 5.90 million, according to FactSet.

The median U.S. home price climbed 23.4% from a year earlier to a record $363,300.

Home sales have been slowing as soaring prices and a limited number of available homes on the market have discouraged many would-be buyers.

At the end of June, the inventory of unsold homes stood at just 1.25 million homes for sale, down 18.8% from a year ago. At the current sales pace, that amounts to a 2.6 months’ supply, the NAR said.