Improved mortgage rates at the end of summer helped push U.S. existing home sales up 1.2% in October<\/strong>, reaching an annualized pace of 4.1 million<\/strong>, according to the National Association of Realtors (NAR)<\/strong>. Sales were also 1.7% higher year over year<\/strong>, marking a rare increase in a persistently sluggish housing market.<\/p>\n\n\n\n Because October closings reflect contracts signed in August and September<\/strong>, the temporary drop in mortgage rates earlier in the fall offered buyers a small window of relief. Rates on the 30-year fixed mortgage<\/strong> dipped from 6.63% in early August<\/strong> to 6.13% by mid-September<\/strong>, before climbing back to 6.36% today<\/strong>, according to Mortgage News Daily.<\/p>\n\n\n\n But analysts warn that the momentum may not last.INVENTORY SHRINKS AGAIN \u2014 AND PRICES KEEP RISING<\/p>\n\n\n\n Housing inventory fell to 1.52 million units<\/strong>, down 0.7%<\/strong> from September but still nearly 11% above last year\u2019s levels<\/strong>. At the current pace, the U.S. has a 4.4-month supply<\/strong> \u2014 still considered lean, and one reason why home prices continue to climb.<\/p>\n\n\n\n The median price<\/strong> of an existing home sold in October hit $415,200<\/strong>, up 2.1%<\/strong> from October 2024 and marking the 28th straight month of annual price gains<\/strong>.<\/p>\n\n\n\n Homes also spent more time on the market \u2014 34 days on average<\/strong>, compared to 29 days<\/strong> a year ago.<\/p>\n\n\n\n \u201cFalling mortgage rates and slower seasonal competition help buyers,\u201d said Danielle Hale<\/strong>, chief economist at Realtor.com. \u201cBut affordability challenges keep sales at historically low levels.<\/p>\n\n\n\n \u201dFIRST-TIME BUYERS RETURN \u2014 BUT REGIONAL GAPS REMAIN<\/p>\n\n\n\n First-time buyers accounted for 32% of purchases<\/strong>, a notable rise from 27%<\/strong> last year. \u201cFirst-time buyers fared better in the Midwest and South,\u201d said Lawrence Yun<\/strong>, NAR chief economist.<\/p>\n\n\n\n Sales growth remains strongest at the top:<\/p>\n\n\n\n Analysts say the luxury market is benefiting from wealthier buyers who are less sensitive to mortgage-rate fluctuations.<\/p>\n\n\n\n <\/p>\n","protected":false},"excerpt":{"rendered":" A brief dip in mortgage rates boosted closings, yet affordability issues and tight supply continue to hold the market near historic lows. Improved mortgage rates at the end of summer helped push U.S. existing home sales up 1.2% in October, reaching an annualized pace of 4.1 million, according to the National Association of Realtors (NAR). […]<\/p>\n","protected":false},"author":2,"featured_media":2900,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[25],"tags":[908,907,906,904,903,905,901,902],"class_list":["post-2899","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-first-time-buyers","tag-home-prices-2025","tag-housing-inventory","tag-mortgage-rates","tag-nar-report","tag-october-housing-data","tag-real-estate-report","tag-u-s-home-sales"],"yoast_head":"\n
But conditions vary sharply by region:<\/p>\n\n\n\n\n
HIGH-END MARKET SURGES, LOWER-END LAGS<\/h2>\n\n\n\n
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