US existing home sales down 1.2% in June

U.S. existing-home sales dipped in June after hitting a three-and-half-year high in May, a leading industry group reported on Monday. Existing home sales, which tally completed transactions for single-family houses, townhouses and condominiums, dropped to a seasonally adjusted annual rate of 5.08 million in June. It was 1.2 percent lower than the revised level of May but still 15.2 percent higher than the year-ago figure, the National Association of Realtors (NAR) said in a report. Lawrence Yun, NAR chief economist, said there is enough momentum in the market, even with higher interest rates. "Affordability conditions remain favorable in most of the country, and we're still dealing with a large pent-up demand," he added. Meanwhile, the median existing home price for all housing types climbed 13.5 percent from a year ago to 214,200 U.S. dollars in June, marking the 16th consecutive month of year-over-year increase, noted the report. Distressed homes -- foreclosures and short sales sold at deep discounts -- accounted for 15 percent of June sales, down from 18 percent in May, marking the lowest share since October 2008. Housing market has become a bright spot in the recovery. Existing home sales account for a larger share of the market than new home sales.