The existing home sales numbers are out. "Sales of existing homes fell in June for the eighth time in the past 10 months while home prices edged up at the slowest pace in more than a decade, more signs that the housing market has slowed dramatically. The median price of a home sold last month was $231,000. That was up 0.9 percent from June 2005 and represented the smallest year-over-year price gain since May 1995."

"Total existing home sales declined 1.3 percent to a seasonally adjusted annual rate1 of 6.62 million units in June from an upwardly revised level of 6.71 million May. Last month’s sales were 8.9 percent below the 7.27 million-unit pace in June 2005."

"'The change in price performance is directly tied to housing inventories, a year ago we had a lean supply of homes and a sellers' market,' David Lereah, NAR’s chief economist said. 'Sellers have recognized that they need to be more competitive in their pricing given the rise in housing inventories. Home prices are only a little higher than a year ago.'"

"Total housing inventory levels rose 3.8 percent at the end of June to 3.73 million existing homes available for sale, which represents a 6.8-month supply at the current sales pace. By contrast, in June 2005, there was a tight 4.4-month supply on the market."

"Existing condominium and cooperative housing sales were 14.6 percent below the 943,000-unit level in June 2005. The median existing condo price3 was $226,900 in June, down 2.1 percent from a year earlier."

"Regionally, existing-home sales in the Midwest were 6.2 percent lower than a year ago. The median price in the Midwest was $175,000, which is 1.7 percent below June 2005. Existing-home sales in the West also were 17.1 percent lower than June 2005. The median price in the West was the same as a year ago."

"Existing-home sales in the South were 5.5 percent below June 2005. The median existing-home price in the South was $191,000, down 0.5 percent from a year earlier. Existing-home sales in the Northeast declined 9.8 percent below a year ago. The median price in the Northeast was $298,000, up 7.2 percent from June 2005."

"NAR President Thomas M. Stevens said opportunities have opened for home buyers. 'People who were discouraged by the bidding wars that were so common over the last few years are finding more choices now,' said Stevens. 'Relative to the five-year housing boom, this year is a buyer’s market in much of the country with plentiful supply, along with interest rates which remain historically favorable, so it’s a good time to buy a home.'"

Existing home for-sale inventory, from the PDF file on the NAR press release:

2,270,000 2003

2,224,000 2004

2,678,000 Jun 2005

2,756,000 July

2,841,000 Aug

2,772,000 Sept

2,868,000 Oct

2,924,000 Nov

2,846,000 Dec

2,883,000 Jan 2006

2,985,000 Feb

3,198,000 Mar

3,415,000 Apr

3,589,000 May

3,725,000 Jun

"The 1.3 percent decline represented the third drop in a row and the eighth in the past 10 months. The inventory of unsold homes rose to a new record of 3.725 million units. Analysts believe that the growing level of unsold homes will further depress prices in coming months."

"Lereah said he believed price weakness will continue as sellers start cutting their asking prices in the face of weaker demand and rising inventories. He said that housing continued to be a "tale of two markets" with previously hot areas experiencing declines and more modestly priced areas showing a boom."