COVID-19 continues to impact existing home sales, resulting in the second-straight month of declines. The National Association of Realtors announced May 21 that sales dropped 17.8% in April from March, and sales are down roughly the same amount from April 2019. The steep fall is the largest month-over-month decline since July 2010.
"The economic lockdowns—occurring from mid-March through April in most states—have temporarily disrupted home sales," said Lawrence Yun, NAR chief economist, in a release. "But the listings that are on the market are still attracting buyers and boosting home prices."
April marked the 98th straight month of year-over-year price gains for the median sale price—$286,800, which is up more than 7% from April 2019. More than half of homes were on the market for less than a month.
Existing home sales declined in all four regions in April, while median home prices increased from April 2019. Each region had a sales drop in the double digits with the West seeing a 25% tumble from the previous month.
"The COVID-19 crisis is presenting a major challenge for buyers and sellers, however, we expect to see improvements soon now that many areas have begun to reopen," states a release from Wells Fargo Securities.
-Michael Miller, managing editor