Market Snapshot | November 2023

Monthly Recap

– Kansas City Association of Realtors

Low inventory, elevated sales prices, and decades-high interest rates continue to weigh on the housing market, causing sales of existing homes to fall to their slowest pace since August 2010. According to the National Association of REALTORS® (NAR), U.S. existing-home sales declined 4.1% month-over-month and 14.6% year-over-year as of the last measure, as prospective buyers, faced with rising homeownership costs, wait for mortgage rates and home prices to drop. Closed sales decreased 8.9 percent for existing homes and 14.9 percent for new homes.

Pending sales decreased 0.7 percent for existing homes but increased 34.4 percent for new homes. Inventory decreased 5.2 percent for existing homes and 12.8 percent for new homes. The median sales price was up 7.9 percent to $277,250 for existing homes and 0.5 percent to $537,538 for new homes. Days on market increased 7.7 percent for existing homes and 57.1 percent for new homes. Supply increased 21.4 percent for existing homes but increased 4.8 percent for new homes. Inventory remains at historically low levels nationwide, with only 1.15 million homes for sale heading into November, a 5.7% decline compared to the same time last year, for a 3.6 months’ supply at the current sales pace. The shortage of available properties for sale has kept pressure on home prices, which have continued to climb despite the slowdown in sales. According to NAR, the U.S. median existing-home sales price increased 3.4% from a year ago to $391,800, an all-time high for the month, with annual price gains reported in all four regions of the country.