Closed sales were down year-over-year (YOY) in July as mortgage rates climbed back into the 7% range, but homebuying activity varied across regions. Inventory is a big determinant of home prices and home sales, Bill McBride points out in his Calculated Risk blog. Western markets such as Denver and Las Vegas saw inventory levels surge 81% YOY and 144% YOY, respectively, in July 2022, but active listings are now down 14% in Denver and 41% in Las Vegas. New listings and closed sales are also falling across the board, with the biggest changes reported in the Southwest.
This early data suggests the July existing home sales report will show another significant YoY decline - and probably close to the June sales rate of 4.16 million (SAAR) - and the 23rd consecutive month with a YoY decline in sales.
PB Topical Ref
