Sales of existing U.S. homes fell to a seasonally adjusted annual rate of 4.2 million in April, marking the lowest level since October 2024 and a 1% decline year over year. The drop comes as total homes for sale climbed to 1.94 million, up 17% from April 2024, reaching their highest level in five years, according to Redfin.
Pending home sales, which track both existing and newly built homes, fell 3.5% from March and 2.7% from the previous year. This marks the steepest monthly decline since August 2023. New listings rose 9% year over year to 586 thousand, the highest level since July 2022. Active listings increased month over month by 1%.
The median home sale price rose 1% year over year to $438,466, the slowest pace in nearly two years. Despite the modest price growth, high mortgage rates drove monthly housing payments to record highs. The average 30-year fixed mortgage rate was 6.73% in April, up from 6.65% in March but down from 6.99% in April 2024.
Homes are taking longer to sell, with the median time on market rising to 40 days, compared to 35 days a year ago. Less than one-third (30%) of homes sold above asking price—the lowest share for any April in five years. The average sale-to-list price ratio declined to 99.2%, while 14% of pending sales fell out of contract, up from 13% in March.
Metro-level data shows Denver led in active listings with a 36% year-over-year jump, followed by Las Vegas (36%) and Oakland (32%). Prices dropped most in Oakland (-6%), Jacksonville (-3%), and Austin (-3%). Conversely, Newark saw the highest annual price gain at 13%, followed by Cleveland (12%) and Milwaukee (10%).
According to Redfin, elevated borrowing costs, economic uncertainty, and concerns over trade tariffs are deterring many buyers and prompting sellers to downsize or offload properties.
