WASHINGTON (AP) — Home-buying slumped in November, with many Americans priced out of the market by rising prices and a shortage of sales listings.
The National Association of Realtors said sales of existing homes fell 1.7% last month to a seasonally adjusted annual rate of 5.35 million. Would-be buyers face supply constraints: The number of properties for sale has dwindled 5.7% from a year ago to 1.64 million units.
Affordability has also been a persistent challenge. The median home sales price has climbed 5.4% from a year ago to $257,400, outpacing wage growth.
Still, lower mortgage rates have provided a base of demand. Over the past 12 months, the decline in the typical mortgage rate from 4.9% to 3.8% this November helped to annual boost sales 2.7%.