(KERO) — It's getting slightly more affordable to buy a home and surging sales have knocked down a record.
A report from the National Association of Realtors out Tuesday shows the median home price dropped in February. The .2 percent year-over-year decline might not sound like much but it's the first such dip in more than a decade. In fact, it ends a streak of increases that was the longest on record.
"Conscious of changing mortgage rates, home buyers are taking advantage of any rate declines," said NAR Chief Economist Lawrence Yun. "Moreover, we're seeing stronger sales gains in areas where home prices are decreasing and the local economies are adding jobs."
"Inventory levels are still at historic lows," Yun added. "Consequently, multiple offers are returning on a good number of properties."
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The report also shows home sales surged in February ending the longest streak of month-to-month declines ever.
The association says the increase is the largest since July 2020 before high prices and interest rates started causing buyers to think twice.
The report also states that "In the West, existing-home sales rocketed 19.4% in February from the prior month to an annual rate of 860,000, down 28.3% from the previous year. The median price in the West was $541,100, down 5.6% from February 2022."
"Owning a home provides a path to long-term financial security and is a vehicle by which to transfer wealth to future generations," said NAR President Kenny Parcell, a REALTOR® from Spanish Fork, Utah, and broker-owner of Equity Real Estate Utah. "REALTORS® deliver expert guidance, objectivity and professionalism to consumers during the complex process of purchasing a home."
