Sales of previously owned homes increased in May, according to new numbers from the National Association of Realtors. The group’s latest report found existing-home sales up 0.8 percent from the month before, with gains seen in the Northeast, Midwest, and South. Lawrence Yun, NAR’s chief economist, says the improvement would be greater if not for mortgage rates. “The relatively subdued sales are largely due to persistently high mortgage rates,” Yun said. “Lower interest rates will attract more buyers and sellers to the housing market. If mortgage rates decrease in the second half of this year, expect home sales across the country to increase due to strong income growth, healthy inventory, and a record-high number of jobs.” Year-over-year, sales are now less than 1 percent lower than the same time last year, while the inventory of homes for sale is up 20.3 percent over the same time period. (source)
