LOS ANGELES, July 9 (Xinhua) -- Housing affordability challenges continue to rattle U.S. buyers, as home prices in the country hit an all-time high last month, the National Association of Realtors (NAR) said on Thursday.
The median existing-home price climbed to a record high of 440,600 U.S. dollars in June, the NAR said in a news release. Prices were up 1.8 percent from a year ago, marking the third consecutive year of monthly home price increases, according to the trade association.
"Housing affordability is showing signs of improvement lately, but costs still may be the biggest reason many buyers remain hesitant to get into the market," said the NAR in the news release, adding that existing-home sales -- which includes single-family homes, townhomes, condos and co-ops -- fell 2.4 percent in June from the previous month, backing off a five-month high reached in May.
"The back-and-forth in monthly home sales activity, driven by mild fluctuations in mortgage rates, shows how sensitive home buyers are to affordability conditions," said Lawrence Yun, NAR's chief economist. "However, job gains -- more than half a million since the beginning of the year -- will continue to provide support for the housing market."
Housing supply also remains a significant constraint. According to the NAR, housing inventory remains at historical lows, with the number of homes for sale declining 0.6 percent from May and rising only 1.3 percent from a year earlier, limiting options for buyers and continuing to put upward pressure on prices.
