The U.S. housing market saw a decrease in home sales, as well as the biggest drop in home prices since 2012, in April, according to a recent report by the National Association of Realtors.
Last month, the national median-existing home price for all housing types, including single-family homes, townhouses and condos, was $388,800—a price down by 1.7% from April 2022, which makes it the biggest price drop since January 2012.
In the South, prices fell by 0.6% to a median home price of $357,900 and in the West prices were down 8% at a median price of $578,200. In Phoenix, the median sale price of a home was $425,000 last month, which was down 7.6% since last year, according to Redfin.
While home prices dropped significantly across the U.S. and in Phoenix last month, home sales also saw a decline. Sales of existing homes dropped 3.4% from March of 2023 and 23% from April of 2022. Additionally, the seasonally adjusted annualized sales pace, which was 5.57 million units a year ago, dropped to 4.28 million in April.
All four regions of the U.S. experienced drops in home sales last month, however the Southern and Western regions saw the largest drops. On a monthly basis, sales in the Northeast and Midwest were down by 1.9% from March of 2023, while sales in the South and West were down by 3.4% and 6.1%, respectively. From an annual perspective, that was a whopping 31% drop of sales in the West since April 2022.
Phoenix saw a 3.3% annual drop in home sales last month. According to Redfin, 1,537 homes were sold in Phoenix in April this year, which is 2,276 less homes sold than last year. Currently, homes in Phoenix sell after 46 days on the market on average, compared to 20 days last year.