U.S. home sales fell to 4.06 million in 2024, the lowest since 1995, driven by high mortgage rates and home prices, which reached an all-time median of $407,500. Economic factors and a shortage of homes on the market have limited purchasing power, especially for first-time buyers. Despite a slight increase in inventory, many prospective buyers remain sidelined. Experts indicate it may take years to recover to previous sales levels amid ongoing affordability issues and high borrowing costs.