Home Prices Hit All-Time High Despite Falling Sales

Home prices in the U.S. hit a new all-time high in June.

The median home price was $416,000 last month, up 13.4% from a year ago, according to the National Association of Realtors (NAR). Meanwhile, existing-home sales fell in June for the fifth straight month, falling 5.4% from May and 14.2% from a year earlier. Mortgage applications also fell 6.3% last week from the previous week, reaching their lowest point since 2000, amid climbing interest rates.

According to the NAR, total U.S. housing inventory at the end of June was 1,260,000 units, up 9.6% from May and 2.4% from the previous year. Another study published last week by Up for Growth suggests that 47 of the 50 states and 55% of U.S. metro areas have housing shortages, and that "the demand for housing in our most economically productive regions far exceeds the production of new homes."

Ongoing issues with the housing market have been covered by sources across the political spectrum. Some reports from right- and center-rated outlets focused more on fears that rising home prices and falling sales are foreshadowing a recession, and framed the housing market data in the context of ongoing high inflation. Some coverage from left-rated sources conveyed less concern about a potential recession. One report from CNN Business highlighted some areas where property prices were falling, and suggested that an "increase in inventory should reduce pressure on prices."