Existing-home sales in the South surprised economists by jumping to the second-highest level in the last twelve months, according to the latest data from the National Association of Realtors.
- Existing-home sales jumped to a seasonally adjusted annual rate of 1.91 million in February, up from 1.83M in January and the second-highest level in the last twelve months.
- The median price in the South was $358,800, up 1.9% from last year.
Nationally, existing-home sales rose to a seasonally adjusted annual rate of 4.26 million in February, up from 4.09M in January and the second highest level in the last twelve months.
- The West was the bigger winner in February with sales jumping 13.3% in February.
- On the flip side, Northeast sales fell 2.0% and sales in the Midwest were unchanged.
Inventory: Total housing inventory registered at the end of February rose to 1.24 million units, up 5.1% from January but is still the third lowest level in the last 10 months. Inventory levels are up 17% tear-over-year
- Unsold inventory sits at a 3.5-month supply at the current sales pace, identical to January and up from 3.0 months in February 2024.
- Properties typically remained on the market for 42 days in February, up from 41 days in January and 38 days in February 2024.
Good News: First-time buyers were responsible for 31% of sales in February, up from 28% in January 2025 and 26% in February 2024.
What They’re Saying: Lawrence Yun, NAR Chief Economist, “Home buyers are slowly entering the market…Mortgage rates have not changed much, but more inventory and choices are releasing pent-up housing demand.”
Bottom Line: The jump in sales was a welcome surprise in February and is a hopeful sign of a strong spring buying season.