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Existing-Home Sales Hit Seven-Month Low as Affordability Worsens
- In August, US existing home sales dropped to their lowest level this year, down 0.7% to an annualized pace of 4.04 million. Year-over-year, sales fell by 15.4%.
- The number of homes for sale decreased to 1.1 million, marking the smallest August inventory since 1999.
- The decline in existing home sales can be attributed to a combination of factors, including elevated prices, high mortgage rates, and limited inventory, resulting in one of the least affordable housing markets on record.
- Despite challenges in the housing market, the labor market remains robust, with new unemployment benefit applications dropping to their lowest level since January