Existing-Home Sales Increase 1.5% in September

(Illustration below courtesy of National Association of Realtors)

Existing-home sales increased by 1.5% month over month in September, according to the National Association of Realtors Existing-Home Sales Report.

Month-over-month sales increased in the Northeast, South and West and fell in the Midwest. On a year-over-year basis, sales rose in the Northeast, Midwest and South and remained flat in the West.

“As anticipated, falling mortgage rates are lifting home sales,” NAR Chief Economist Lawrence Yun said. “Improving housing affordability is also contributing to the increase in sales.”

Yun added that inventory now matches a five-year high, though it remains below pre-COVID levels. “Many homeowners are financially comfortable, resulting in very few distressed properties and forced sales,” he said. “Home prices continue to rise in most parts of the country, further contributing to overall household wealth.”

Andrea Blais, senior vice president of real estate lending at SchoolsFirst Federal Credit Union, Tustin, Calif., said she expects for-sale inventory to grow and rates to slowly dip as the new year approaches. “Both of these will push up home sales slightly as we inch closer to the holiday season,” she said.

The report said the median time on market for properties rose slightly to 33 days in September, up from 31 days in August and 28 days in September 2024. NAR reported that 30% of sales were first-time homebuyers, up from 28% in July and 26% in September 2024. Additionally, 30% of transactions were cash sales, up from 28% a month ago and unchanged from September 2024.