Contract closings decreased 0.7% from a month earlier to a 4.04 million annualized pace, National Association of Realtors data showed Thursday. The median estimate in a Bloomberg survey of economists called for a pace of 4.1 million.Borrowing costs are now hovering around the highest levels in decades, discouraging existing homeowners — many who previously locked in lower mortgage rates — from moving.
The median selling price rose 3.9% from a year earlier to $407,100, one of the highest readings on record. Since August 2019, prices are up 46%, according to Lawrence Yun, NAR’s chief economist. A separate report out Thursday showcased the resilience of the labor market. Applications for unemployment benefits dropped to the lowest level since January, and they’re now within striking distance of the lowest level in more than half a century.