Additionally, total housing inventory dropped 1.5% from July’s supply and down 13.4% from a year ago to 1.29 million units. Unsold inventory sits at a 2.6-month supply at the current sales pace, unchanged from July.
Read more: New housing starts data released
The median existing-home price for all housing types was $356,700 – a 14.9% jump from August 2020 ($310,400), as prices increased in each region. NAR said that this marks 114 straight months of annual gains.
“High home prices make for an unbalanced market, but prices would normalize with more supply,” Yun said.
MBA chief economist Mike Fratantoni noted that first-time homebuyer share dropped from 30% in July to 29% in August. He said that the decline highlights the inventory shortages and fast-rising home prices that continue to challenge prospective buyers.