Spring homebuying stalls

U.S. home resale activity slowed at the start of spring, with March existing-home sales dropping to their weakest monthly pace since June 2025. (nar.realtor) The National Association of Realtors said March sales fell 3.6% from February to a seasonally adjusted annual rate of 3.98 million homes. Sales were also down 1.0% from March 2025. (nar.realtor) March sales fell in all four U.S. regions from the prior month, while the median existing-home price rose 1.4% from a year earlier to $408,800. Total inventory climbed to 1.36 million homes, equal to a 4.1-month supply. (nar.realtor) That mix left buyers facing a familiar problem: slightly more listings, but still not enough supply to ease prices much. National Association of Realtors Chief Economist Lawrence Yun said another 300,000 to 500,000 homes for sale would bring the market closer to normal conditions. (nar.realtor) The trade group also cut its 2026 forecast after a weak first quarter. It now expects existing-home sales to rise 4% this year, down from the 14% increase it projected in November 2025. (nar.realtor; nar.realtor) The earlier forecast assumed mortgage rates would average about 6% in 2026. Freddie Mac’s latest weekly survey, released April 9, put the average 30-year fixed-rate mortgage at 6.37%, after 6.46% a week earlier. (nar.realtor; freddiemac.com) Yun said rising mortgage rates, lower consumer confidence and softer job growth held buyers back in March. The Conference Board’s March survey showed its Expectations Index fell to 70.9, a level often associated with recession concerns. (nar.realtor; conference-board.org) The slowdown extends a longer housing freeze that has kept many owners from selling because they are locked into older, cheaper mortgages. Prices have now posted 33 straight months of year-over-year gains, even as sales stay subdued. (nar.realtor) For buyers, the spring market is opening with more choice than a year ago but little relief on monthly payments. For sellers, the numbers point to a market that is still short on homes, but no longer moving fast enough to support last fall’s rebound hopes. (nar.realtor; freddiemac.com)