More homes were listed for sale for buyers to choose from in May compared to April, with the values of those homes continuing to increase, a report released today by the National Association of REALTORS® (NAR) said.

Existing home sales, which the NAR defines as completed transactions for properties that include single-family homes, townhomes, condominiums and co-ops, increased as much as 3.2% from April in all four regions of the nation. Sales also increased 3.2% from May of 2025.

“This is great news for the housing market and the economy,” NAR Chief Economist Lawrence Yun said. “Improving affordability is helping drive this momentum. Even with mortgage rates ticking up compared to earlier in the year, they remain lower than a year ago and are essentially at the long-term historical average.”

Total homes for sale at the end of May were 1.55 million units, up 3.3% from April and up 0.6% from May 2025. With more options on the market, potential buyers have a better chance to search for their dream home than they did last year.

“The new record-high May home price reflects solid fundamentals for homeowners and ongoing supply constraints,” Yun continued. “Only 1% of all home sales involved a foreclosure or an underwater situation in which the sale price could not cover the outstanding mortgage balance. This shows that homeowners are on solid financial footing.”

Current homeowners, whether seasoned or recent, may have seen their home values increase in May. The NAR reported that May was the 35th consecutive month that median home prices have increased.

With mortgage rates lower than a year ago, home prices increasing and more homes available, it may be time to consider joining the housing market.

Which regions showed changes in existing home sales?

Three of the four regions the NAR tracks in the U.S. showed increases in sales of existing homes in May compared to the previous month, the NAR said.

The Northeast was the only region that saw a decrease in sales compared to a year earlier.

“Increased home sales mean more economic activity — lawn care, furniture purchases, moving services, mortgage originations and other related business activities all get a boost,” Yun said.

As May ends, the spring homebuying season comes to a close as well. Spring generally introduces a larger inventory, so it could be a great time now for many potential homebuyers hoping to see more properties join the housing market.

Did mortgage rates show any change?

According to data from Freddie Mac, the 30-year fixed rate mortgage averaged 6.48% as of June 4.* That’s a sizeable drop from 6.85% one year ago and slightly lower from 6.53% one week earlier.

A continued reduction in mortgage interest rates will likely be a welcome sign to prospective homebuyers. A decrease in mortgage rates could also signal a continuing thaw in the housing market as the annual spring-summer homebuying season gets into full swing.

Are you ready to start seeing the benefits of homeownership? Apply for a mortgage pre-approval and begin your journey toward your dream home with Rate! A pre-approval shows sellers and real estate agents that you’re a serious buyer and gives you an idea of how much of a mortgage you’re likely to get approved for.

*National average rates from Freddie Mac as of June 4, 2026, are not advertised rates from Rate.

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