US Home Prices Hit All-Time High

On Friday, Redfin reported that the median US home-sale price reached a record high of $396,500 during the four-week period ending June 15, up 1.0% from a year earlier.

Prices are at an all-time high even though this spring’s housing market is fairly cool because prices don’t yet fully reflect the historic imbalance of sellers and buyers in today’s market, Redfin said.

Home prices are seasonal and typically peak in June or July, and price growth is slowing. The current 1.0% year-over-year gain is consistent with recent weeks but down sharply from about 5.0% at the start of the year.

While the median sale price is at an all-time high, it’s roughly $26,000 lower than the median asking price of $422,238. That 6.0% discount is similar to that of the last several weeks, but marks a reversal from 2021 and 2022, when the median sale price was typically much higher than the median list price because the market favored sellers.

New listings rose 4.4% year-over-year, and total listings are up 14.5%. However, pending sales declined 1.5% from a year ago, and mortgage-purchase applications fell 3.0% from the previous week.

Redfin attributes the relatively weak homebuying demand this spring to economic uncertainty and high housing costs. In addition to record sale prices, the median monthly housing payment is just $53 below its all-time high.