In May, existing home sales in the US declined for the third consecutive month, down 0.7% to 4.11 million units, according to the National Association of Realtors. This drop is attributed to record-high prices, with the median home price reaching $419,300, a nearly 6% increase from last year. Additionally, interest rates hovering around 7% have created affordability challenges for buyers, leading to a 2.8% year-over-year decrease in sales. Despite an increase in inventory, which now stands at a 3.7-month supply, the market remains competitive with nearly one in three homes selling above listing price. Lawrence Yun, chief economist at NAR, noted a concerning trend where low sales activity coincides with soaring prices and multiple offers, highlighting the lack of affordable housing options. First-time homebuyers, showing resiliency, have increased their market share to over 30%.