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American home sales in May saw a rise beyond expectations, increasing by 3.2% compared to April, with the sale rate reaching 4.17 million units annually — the highest level since December. This rebound is attributed to a decline in mortgage interest rates in April, which improved housing affordability, despite home prices rising 1.3% compared to last year. The available inventory currently represents 4.5 months of sales. Additionally, sales of homes exceeding one million dollars increased by 11%, while the share of first-time buyers returned to make up 35% of the market.
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