Home Shopping Season Shows Signs of Life As Sales, New Listings Rebound (Zillow June Market Report)

Zillow's June Market Report found that the housing market showed renewed momentum as home sales increased 5.9% year over year and new listings rebounded after slowing in May. Lower mortgage rates helped improve affordability, reducing the typical monthly mortgage payment by 2.5% compared with a year ago, although inventory growth has begun to level off after an extended period of gains. The report also noted that activity is strongest in lower-priced homes, where both inventory and sales continue to outpace higher-end segments.

These trends suggest affordability remains the primary driver of housing activity, creating opportunities for real estate professionals, mortgage lenders, home improvement retailers, home services companies and furniture retailers that can connect with buyers entering the market as financing conditions improve.