Home Prices Post Biggest Annual Drop Since 2012, but Sales Also Fall

Home prices experienced their largest annual fall since 2012 in April, but home sales also continued to decline.

The Details: The U.S. median existing-home price fell 1.7% in April from a year earlier to $388,800, the biggest annual drop since January 2012, according to the National Association of Realtors. Median prices were down 6% from $413,800 in June, but differ greatly from market to market: prices in the Northeast were up 2.8% in April from a year ago, while prices in the West fell 8% from a year ago. Meanwhile, sales of existing homes fell 3.4% in April from March, and are down 23.2% compared to April 2022. 

For Context: High mortgage rates and low inventory continue to be obstacles for homebuyers, and existing-home sales have fallen in 14 of the past 15 months. As rates remain high, homeowners who locked in lower rates may be more reluctant to sell.

How the Media Covered It: Sources across the spectrum covered both the drops in prices and sales, but some differed in which they focused on. Fox Business (Lean Right bias) highlighted how sales "continued to slide in April as limited inventory and high prices cooled consumer demand." Daily Mail (Right) said "high mortgage rates and limited supply make buying today unrealistic for many Americans." A CNN Business (Lean Left) headline said "US home prices fall by most in 11 years but sales are down."