The US Housing Market Is Mired in a Decade-Long Demand Depression

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Home sales hit 4.17 million in May matching lows not seen since 2008

Median sales prices remain stagnant at 429,000 despite zero buyer interest

The 3 percent monthly sales surge is purely noise and ignores 4 years of decline

Luxury transactions over 1 million spiked 11 percent while mid-range demand cratered

Affordability is at crisis levels with mortgage payments consuming 38 percent of gross income

Historic data shows that when mortgage cost-to-income ratios stay this high sales velocity collapses

Only 4.7 percent of existing US housing stock changed hands this year vs 5.3 percent in 2008

Sellers are delusional raising list prices even when assets sit stagnant on the market

Zip-code-specific data shows price forecasts diverging by up to 21 percent between regions

This is is a luxury-skewed stagnation trap waiting for a forced reset