Existing home sales in January fell to lowest level since August 2024 as tight inventory continued to push home prices higher and winter weather weighed on sales activity.

Total existing home sales fell 8.4% in January to a seasonally adjusted annual rate of 3.91 million in January, according to the National Association of Realtors (NAR). Total sales were 4.4% lower than a year ago.

Despite mortgage rates trending lower and wage growth outpacing price gains, limited resale supply kept many buyers on the sidelines. Resale inventory remained at lowest level since January 2025. 

Existing home inventory measured 1.2 million units in January, down 0.8% from December, but up 3.4% from a year ago. At the current sales rate, January unsold inventory sits at a 3.7-months’ supply, up from 3.5 months in December and January 2024. Inventory between 4.5- to 6-months’ supply is generally considered a balanced market.

Homes stayed on the market for a median of 46 days in January, up from 39 days in the previous month and 41 days in January 2025.

For more analysis of the existing home sales data, read this post on Eye on Housing.