STORY: U.S. existing home sales slumped to a 2-1/2 year low in November as the housing market continued to be squeezed by higher mortgage rates.

November’s sales plummeted 7.7%, the National Association of Realtors said on Wednesday.

Sales have now declined for 10 straight months, the longest such stretch since 1999.

The biggest impact on home sales this year? Higher mortgage rates driven by the Federal Reserve's interest rate hikes, the central bank’s fastest rate-hike cycle since the 1980s. The Fed is seeking to slow unacceptably high inflation by bringing down demand for everything – including housing.

The average rate on a 30-year fixed-rate mortgage surged to above 7% a few months ago, the highest since 2002, according to data from mortgage finance agency Freddie Mac. Though the rate retreated a bit last week, it is double what it was that time a year ago.

The housing market boomed early in the health crisis as Americans sought bigger properties to accommodate home offices, driving up prices beyond the reach of many. Even with demand down and sales soft, supply remains tight, keeping home prices elevated, though the pace of price increases is slowing.

The median price of an existing home increased 3.5% from a year earlier to $370,700 in November. It was still the highest house price for any November and prices remain about 37% above what they were before the health crisis.