In June, home prices reached a record high of $426,900, marking a 4.1% increase from the previous year. This peak occurred amid a persistent housing slump characterized by reduced buyer activity.

Sales of previously occupied U.S. homes fell for the fourth consecutive month, declining 5.4% from May to an annualized rate of 3.89 million.

This drop in sales also represented a 5.4% decrease compared to June 2023 and was below economists’ expectations of 3.99 million annualized sales.

At the end of June, there were approximately 1.32 million unsold homes, up 3.1% from May and 23% higher than the previous year.

This resulted in a 4.1-month supply of homes, indicating a slight increase from a more balanced market where a 4- to 5-month supply is typical, CBS News has reported.

The combination of high prices and elevated mortgage rates continues to challenge affordability, keeping many potential buyers out of the market.

Written by B.C. Begley