The median price of homes sold in May was $263,408, up 4.6 percent year-over-year, according to an analysis by Zillow.
Zillow said May was second consecutive month in which the annual growth rate slowed from the month prior, down from 5.3 percent year-over-year growth in April.
Home price growth had experienced a year of near-continuous acceleration that peaked at 5.5 percent year-over-year growth in March.
“As surprising as it might have seemed at the time, sellers who forged ahead with listing their homes this spring were richly rewarded, when buyers buoyed by record-low mortgage rates flooded their listings with offers,” Zillow Economist Jeff Tucker said in a release.
“Now, word is getting out that the housing market is on solid ground, so more listings are belatedly rushing to market, extending the busy spring shopping season well into summer,” Tucker said. “The huge millennial first-time homebuying wave is still cresting, pushing demand above what’s still very limited supply, so sellers are likely to find eager buyers for months or even years to come.”
During May, the median sale price was up in each of the 50 largest metropolitan areas, including in Indianapolis (+11.8 percent) and Salt Lake City (+9.8 percent).