A big jump in the supply of homes for sale was likely behind the small gain in sales from April. There were 1.54 million units available at the end of May, an increase of over 20% from May of last year. At the current sales pace, that represents a 4.6-month supply, which is still historically on the light side.

Maine homebuyers paid a median of $425,000 in May, just two months after the state recorded the first price decrease in six years.

Existing-home sales rose 0.8 percent in May to a seasonally adjusted annual rate of 4.03 million. Sales slowed 0.7 percent from a year ago. The median existing-home sale price rose 1.3 percent from May 2024 to $422,

While price growth has slowed, elevated mortgage rates and rising prices are forcing prospective homebuyers to save more for a down payment. In May, buyers needed an annual income of $91,960 to afford a typical home with a 20% down payment, or nearly 87% more than in May 2019, according to Realtor.com.

Sales of existing homes held near historically low levels, the latest sign that buyers are staying away because of high home prices.

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