Exisiting Homes Sales Year-Over-Year Down 13.2%, Inventory Climbs

On a year-over-year basis, existing home sales were down 13.2% from the 5.76 million-unit pace in July 2007.

On a month-to-month basis, existing-home sales (SA) rose 3.1% to an annual rate of 5.00 million units in July, from a downwardly revised level of 4.85 million in June.

Total housing inventory rose 3.9% to a record 4.67 million existing homes available for sale, representing an 11.2 month supply. This matches the highest inventory totals ever. The NAR has said a 5-6 month's supply is what is seen in stable housing markets.

Prices also fell. The national median existing-home price for all housing types was $212,400 in July, down 7.1% from a year ago prices of $228,600. About 40% of the existing home sales are now distressed sales nationwide. Thus, the downward pressure on prices, which are attracting value buyers.