Existing Home Sales (Annualized) vs M2 Money Supply (Year-over-Year Change)
Existing Home Sales (Annualized) is currently 4.26M (up +0.2M). M2 Money Supply (Year-over-Year Change) is currently 3.9% (up +0.2%).
| Metric | Existing Home Sales (Annualized) | M2 Money Supply (Year-over-Year Change) |
|---|---|---|
| Current value | 4.26M | 3.9% |
| Previous reading | 4.08M | 3.7% |
| Change | +0.2M | +0.2% |
| Trend | up | up |
| Frequency | Monthly | Monthly |
| Source | National Association of Realtors | Federal Reserve |
| Last updated | 2026-03-20 | 2026-03-25 |
| Category | housing | money |
What Existing Home Sales (Annualized) measures
Existing home sales measures the number of completed sales of previously owned homes, expressed as a seasonally adjusted annual rate. It accounts for approximately 85-90% of all home sales in the U.S.
At 4.26 million, existing home sales remain well below the 2021 peak of 6.1 million. The 'lock-in effect' — where homeowners refuse to give up sub-4% mortgages — continues to constrain inventory. For executives, this suppressed transaction volume affects real estate commissions, moving services, home improvement spending, and mortgage origination revenue across the industry.
What M2 Money Supply (Year-over-Year Change) measures
M2 is a measure of the money supply that includes cash, checking deposits, savings deposits, money market funds, and small time deposits. Year-over-year changes in M2 are a leading indicator of inflation and economic activity.
M2 growth has recovered to 3.9% year-over-year after an unprecedented contraction in 2023 (the first in modern history). The normalization of money supply growth supports economic activity without being excessively inflationary. For executives, moderate M2 growth (3-5%) is consistent with a healthy economy — it means enough liquidity to support business activity without fueling the kind of excess that drove 2021-2022 inflation.
Frequently asked
Existing Home Sales (Annualized) is currently 4.26M, up +0.2M from the previous reading. Source: National Association of Realtors, updated monthly.
M2 Money Supply (Year-over-Year Change) is currently 3.9%, up +0.2% from the previous reading. Source: Federal Reserve, updated monthly.
At 4.26 million, existing home sales remain well below the 2021 peak of 6.1 million. The 'lock-in effect' — where homeowners refuse to give up sub-4% mortgages — continues to constrain inventory. For M2 growth has recovered to 3.9% year-over-year after an unprecedented contraction in 2023 (the first in modern history). The normalization of money supply growth supports economic activity without bei