Compared to September 2022, existing home sales slumped 15.4%, down from 4.68 million in September 2022. Looking at the four major U.S. regions on a monthly basis, sales only picked up in the Northeast. Meanwhile, on a year-over-year basis, all four regions posted sales declines.
“As has been the case throughout this year, limited inventory and low housing affordability continue to hamper home sales,” NAR Chief Economist Lawrence Yun said in a statement. “The Federal Reserve simply cannot keep raising interest rates in light of softening inflation and weakening job gains.”
On the bright side, home buyers had more homes to choose from in September as housing inventory posted a 2.7% increase since August, with 1.13 million units available. However, that figure was 8.1% lower than a year prior.
For the first time in four months, the median existing-home price fell under the threshold of $400,000, to $394,300. It was still 2.8% higher than in September 2022. All four U.S. regions posted price increases, the report showed.
“For the third straight month, home prices are up from a year ago, confirming the pressing need for more housing supply,” Yun said.