People in the U.S. bought the fewest already owned homes since the spring in November, even as other parts of the economy strengthened, the National Association of Realtors said Monday.
{mosads}Home sales took a 6.1 percent dive from October to November, the Realtor group said, with sales stumbling in each region of the country. In all, people in the U.S. bought a seasonally adjusted 4.93 million homes in November, down from a revised 5.25 million in October.
The drop stands in stark contrast to other economic indicators, including the 321,000 jobs the economy added last month. The Realtor group’s chief economist also pointed out that the lagging home sales came despite interest rates being at their lowest level this year.
“The stock market swings in October may have impacted some consumers’ psyche and therefore led to fewer November closings,” said the economist, Lawrence Yun. “Furthermore, rising home values are causing more investors to retreat from the market.”
Home sales were at their weakest point since May, when new owners snapped up 4.91 million homes. But the pace of sales still outstripped a year ago, with sales rising 2.1 percent from November 2013. The median price for existing homes also rose to $205,300, marking almost three consecutive years of monthly gains.
Janet Yellen, the chairwoman of the Federal Reserve, has expressed concerns about a slow housing market for much of 2014.