Existing home sales recorded a 1.4% decline last month compared with February 2025. The current inventory of homes available for sale is estimated to cover 3.8 months of market demand based on the present sales pace.
Meanwhile, the median price of a home sold in February reached $398,000, marking a modest 0.3% increase compared with the previous year. Despite the slight gains at the start of the year, rising mortgage rates may negatively affect the upcoming spring housing season.
On the other hand, existing home sales rebounded in February by 1.7% compared with January, reaching a seasonally adjusted annual rate of 4.09 million units, according to the National Association of Realtors. However, when compared with February of last year, sales were still down by 1.4%.
These figures reflect completed transactions, which likely represent contracts that were signed in December and January, when the mortgage market experienced relative stability at around 6% for a 30-year fixed mortgage. This rate was roughly one full percentage point lower than it was the previous year.
According to reports from brokerage firm Redfin, a growing number of sellers who had previously withdrawn their homes from the market last fall—due to weak consumer confidence and slower sales—are now relisting their properties.
Around 45,000 homes were relisted in January, the highest figure recorded for that month since the company began tracking this metric ten years ago. This number represents a record share of 3.6% of the total homes listed on the market during the month.
Despite these modest improvements, limited housing supply continues to keep prices noticeably elevated. The median home price in February stood at $398,000, reflecting a slight annual increase of 0.3%.
The upper segment of the market—homes priced above $1 million—continued to attract strong demand, while the lower, more affordable segment experienced a significant decline in sales.
The report also noted that homes are taking longer to sell compared with the previous year. The average time required to complete a sale increased to 47 days, compared with 42 days last year. Meanwhile, first-time buyers accounted for 34% of total sales, up from 31% a year earlier, while the share of investors remained steady at 16% without change.
