Lack of supply remains the major obstacle to homebuying and the factor driving up prices and eroding home affordability.
A typical household earning about $51,000 can afford to buy 36% of homes for sales in the United States.
Housing affordability declined from a year ago in July moving the index down 8.2 percent from 151.2 to 138.8.
Amid strong demand compared to homes for sale, REALTORS® reported that properties were typically on the market for 27 days, a shorter time compared to one year ago (30 days) and about the same level during the prior month (26 days).
In 2017 the typical member had a median of 11 transactions, and a median sales volume of $1.8 million.
Nationally, the median price of existing homes sold in July 2018 rose to $269,600, up 4.5% from one year ago, but slower than the 5.7% appreciation in 2017.
This is the fifth straight month (since March 2018) that Realtors® reported a decline in buyer activity compared to conditions one year ago.
Eighty-six percent of respondents reported that home prices remained constant or rose in July 2018 compared to levels one year ago (91 percent in July 2017).
Compared to a year earlier, 66 out of the nation’s 100 largest metros became less affordable, whereas 7 were unchanged and 27 became more affordable.
As of June 2018, the national median sales price of existing homes sold rose to a peak of $276,900, the highest level since 2001.
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