U.S. existing home sales unexpectedly fell in April despite a temporary drop in mortgage rates and increased supply, and could remain lackluster this year amid rising economic uncertainty. Home sales slipped 0.

Home sales fell in April, as mounting economic uncertainty and steep housing costs pushed buyers away for a second straight month. Existing-home sales fell 0.5% from March to a seasonally adjusted annual rate of 4 million.

Greater supply is also failing to bring prices down. The median sales price climbed 1.8% from a year ago to $414,000, a record for the month of April and reflecting greater activity at the upper end. However, Yun noted the size of the increase was the smallest since mid-2023, pointing to slowing price appreciation.