Existing home sales data: A bad sign for housing market? What we need is more inventory or higher rates

Didier Malagies • May 24, 2021

According to the National Association of Realtors, existing home sales for April’s housing market came in at 5,850,000. This was a miss from estimates and the third straight month of declines in sales.



I have been saying we should expect home sales to moderate since the end of summer 2020, and that is what we see in this report. This sales trend looks very normal to me. We saw a massive move-up in sales in the second half of 2020 and now were are getting the correcting declines. In the last existing home sales article for HousingWire, I wrote that we should see some sales prints under 5,840,000. We didn’t see that in this report but we should see some in the future.

My biggest fear for the U.S. housing market for 2020 to 2024 is that home prices could escalate to an unhealthy level. Since the end of summer 2020, I have been expressing this concern in various interviews, including on Bloomberg Financial.

Having the best housing demographics ever during the years 2020-2024, along with the lowest mortgage rates, gives you the best supply of replacement buyers ever. This is one of those advantage/disadvantage situations. The disadvantage is that total inventory levels are shallow, creating a bidding frenzy for the few homes on the market without too much growth in mortgage demand. Even though we do not see a credit boom, the bulk of existing-home sales demand is from primary-residence mortgage buyers.



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Older Americans maintain record share of housing wealth Redfin says housing wealth held by those 70 and older has reached $13 trillion

By Didier Malagies • March 18, 2026
That Redfin data point—$13 trillion in housing wealth held by Americans 70+—is a big deal, and it ties into several powerful trends reshaping the housing and mortgage markets. What’s driving this record wealth? 1. Long-term home price appreciation Older homeowners bought decades ago at much lower prices and have benefited from massive appreciation, especially post-2020. 2. Low mortgage leverage Many in this age group either: Own their homes outright, or Have very small remaining balances So their equity = real wealth , not just paper gains. 3. Aging in place Instead of downsizing, many are staying put longer, allowing equity to continue compounding. Why this matters (big picture) 1. Supply constraint in housing Fewer older homeowners are selling, which: Keeps inventory tight Supports higher home prices This is one reason younger buyers are struggling to find affordable homes. 2. Wealth inequality across generations Younger generations: Face higher home prices Have less access to equity Meanwhile, older Americans control a disproportionate share of housing wealth. Implications for mortgage and lending 1. Rise of equity-based lending This trend directly fuels growth in: Reverse mortgages (HECMs) HELOCs Cash-out refinances That $13T is largely untapped liquidity . 2. “Living off equity” becomes more common With concerns around: Social Security stability Inflation More retirees are using housing wealth as: Income supplementation Emergency reserves 3. Intergenerational wealth transfer We’re seeing more: Parents helping kids with down payments Early inheritance strategies using home equity The hidden risk This isn’t risk-free: If home prices flatten or fall → equity shrinks Property taxes + insurance (especially in places like Florida) can pressure fixed-income retirees Liquidity is still “locked” unless accessed strategically Bottom line That $13 trillion figure isn’t just a stat—it represents a shift in where wealth lives in America : Housing is now the primary balance sheet asset for older Americans It’s becoming a retirement tool , not just a place to live And it’s quietly shaping everything from housing supply to lending innovation  Didier Malagies nmls212566 DDA Mortgage nmls324329

Stop Renting, Start Owning: SBA 7(a) Loans for 100% Commercial Financing

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