DENVER – U.S. home sales rose for the fourth consecutive month in May, increasing 7.9% from April, yet remained slightly below last year’s level. Sales dipped 0.5% year over year, reflecting ongoing supply constraints as the number of new listings continued to slow.

Across the 51 metro areas surveyed, overall inventory increased 8.4% from April and 2.0% from May 2025. The annual gain marks the 29th consecutive month of year-over-year inventory growth dating back to January 2024. However, growth has moderated in recent months, with single-digit increases replacing the double-digit gains seen throughout 2025.

New listings declined 3.3% from April and fell 8.4% year over year, extending a seven-month streak of annual decreases dating to November 2025. The pullback in new listings is contributing to the slower pace of overall inventory expansion.

The median sales price in May rose 1.1%, or $5,000 from April, to $450,000, up 1.4% or $6,000 from one year ago.

“The housing market was finding its footing this spring, with steady month-over-month sales gains showing that buyers are still engaged,” said Chris Lim, REMAX President and Chief Growth Officer. “At the same time, the slowdown in new listings limited inventory growth. That’s keeping conditions competitive in many markets, even as price growth remains relatively moderate. For buyers and sellers alike, this is a market where timing and expert guidance matter more than ever.”

Other metrics of note:

• Days on market: Homes sold in an average of 42 days, three days fewer than in April but two days longer than one year ago.
• Months’ supply of inventory: 2.5 months, up from 2.3 in April and unchanged from May 2025.
• Close-to-list price ratio: 99%, unchanged from both last month and one year ago.