Plunging 13.7% from April to the lowest level since October 2024—marking a 6.3% year‑over‑year decline. The South and Midwest saw the biggest drops, despite a 3.7% uptick in the median home price to $426,600. Inventory has surged, with some 500,000 more homes for sale than buyers in the spring, and about a 9.8‑month supply of new homes on hand—nearly double what’s considered a “balanced market.” Builders are offering incentives and price cuts in response .
Affordability issues remain: Mortgage rates are stuck near 6.8%, while the median new‑home price is hovering around $426–427 k. That combination continues to push many buyers to the sidelines .
Existing‑home sales barely budged—up only 0.8% in May from April, but still down 0.7% year‑over‑year and near their slowest May pace since 2009. The median resale price hit $422,800 .

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