Sales in May (5.41 million SAAR) were down 3.4% from the previous month and were 8.6% below the May 2021 sales rate. Sales in April were revised down.
The second graph shows existing home sales by month for 2021 and 2022.
Existing home sales are reported when the transaction closes. So, sales in May are mostly for contracts signed in March and April when mortgage rates were significantly lower than today (and many buyers locked in the mortgage rate as soon as possible).
My sense is contracts for sales really declined in June, and that will show up as closed sales in July and August.
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