November existing-home sales rise modestly, but prices set November high amid tight supply

Existing-home sales rose 0.5% in November from October to a seasonally adjusted annual rate of 4.13 million units, the National Association of Realtors said Friday. Sales were down 1% from November of the previous year.

Economists surveyed by FactSet had expected a pace near 4.14 million, keeping the month’s figure just below forecasts. The data show that while activity rose month over month, it remained subdued by historical standards, reflecting ongoing affordability and demand dynamics in the housing market. “It’s possible that 2025, unless December (sales) figures really improve, we may be technically slightly down from one year ago,” NAR chief economist Lawrence Yun said.

Despite the sales uptick, home prices continued to climb last month. The national median sales price rose 1.2% in November from a year earlier to $409,200, an all-time high for any November in data going back to 1999. Prices have risen on an annual basis for 29 consecutive months, even as affordability has eroded and the housing market has been mired in a slump that began in 2022 when mortgage rates climbed from historic lows.

Inventory remains tight. There were 1.43 million unsold homes at the end of November, down 5.9% from October and up 7.5% from November last year, the NAR said. The latest inventory snapshot translates to a 4.2-month supply at the current sales pace, well below the roughly 5–6 months many analysts see as balanced between buyers and sellers.

First-time buyers accounted for 30% of November’s sales, continuing a downward trend from the historical 40% share. An ongoing pattern highlighted in NAR’s housing-buyer survey shows first-time buyers were an all-time low 21% of purchases between July 2024 and June 2025, while the average age of such buyers rose to a record 40. The mix signals persistent challenges for those without significant equity or who face higher monthly payments amid elevated rates.

Shoppers who could afford to buy benefited from a wider selection of properties on the market in November than a year earlier, even though the overall number of homes for sale decreased from October. Purchases during November likely went under contract in September and October, when the average rate on a 30-year mortgage ranged from about 6.5% to 6.17%, Freddie Mac data show. Mortgage rates have largely remained near October’s lows in recent weeks, helping some buyers but continuing to constrain affordability for many and keeping pressure on housing-supply dynamics in key markets.

In sum, November’s housing data portray a cautious market: sales ticked higher month over month, prices set a record for November, and supply remained historically tight. The combination underscores a market transitioning toward steadier activity, even as affordability hurdles and a persistent shortage of affordable homes shape the outlook for 2025.