U.S. existing home sales fall to nine-month low as prices rise

The data released on Monday by the National Association of Realtors shows that existing home sales fell by 3.6% to an annualized rate of 3.98 million units. This is lower than the median estimate of economists surveyed by Bloomberg. The report indicates that the Iran war is affecting the US economy in various ways. Since the outbreak of the conflict, mortgage rates have risen significantly, exacerbating housing market affordability issues and potentially hindering the recovery of the peak sales season. The NAR also sharply lowered its 2026 existing home sales growth forecast from the previous 14% to 4%. NAR Chief Economist Lawrence Yun said in a statement, “Rising mortgage rates have prompted us to lower our expectations for home sales this year.” The report shows that the median home sales price in March rose 1.4% year-on-year to $408,800. Inventory edged up to a four-month high but remains at a historically low level.