by Sales also rise 1.5% from August, suggesting a rebound in the housing market
WASHINGTON — Bolstered by lower interest rates, existing home sales rose 4.1% from September 2024 and rose 1.5% from August, according to the National Association of Realtors.
September existing home sales totaled 4.06 million, with year-over-year sales rising in the Northwest, Midwest and South and level in the West. Month-over-month sales rose in the Northeast, South and West, and fell in the Midwest.
Officials attributed the change to lower mortgage rates. Citing Freddie Mac, the NAR said the average 30-year fixed-rate mortgage was 6.35% in September, compared with 6.18% in September 2024 and 6.59% in August.
“As anticipated, falling mortgage rates are lifting home sales,” said NAR Chief Economist Lawrence Yun. “Improving housing affordability is also contributing to the increase in sales.”
Single-family home sales rose to a seasonally adjusted rate of 3.69 million, or 90.9% of the total, which the NAR said is up 4.5% from September 2024 and up 1.7% from August. The median home sale price was $420,700, up 2.3% from September 2024.
Condominium and co-op sales were flat in September from September 2024 and August, totaling 370,000 units. The median price was $360,300, down .6% from September 2024.
The total inventory of existing homes on the market was 1.55 million units, which was up 14% from 1.36 million in September 2024 and up 1.3% from August. The NAR said this represents a 4.6-month supply of unsold inventory, up from 4.2 months in September 2024 and level with August.
Yun said that while inventory is at a five-year high, it remains below pre-Covid levels.
“Many homeowners are financially comfortable, resulting in very few distressed properties and forced sales,” he added. “Home prices continue to rise in most parts of the country, further contributing to overall household wealth.”
By region, the activity was as follows:
In the Northeast, existing home sales totaled 490,000, up 4.3% year over year and up 2.1% from August. The median price was $500,300, up 4.1% from September 2024.
In the Midwest, existing home sales totaled 940,000, up 2.2% year over year and down 2.1% from August. The median price was $320,800, up 4.7% from September 2024.
In the South, existing home sales totaled 1.86 million, up 6.9% year over year and up 1.6% from August. The median price was $364,500, up 1.2% from September 2024.
In the West, existing home sales totaled 770,000, level with September 2024 and up 5.5% from September. The median price was $619,100, up .4% from September 2024.
Other highlights of the report were as follows:
+ Homes were on the market for a median of 33 days in September, up from 28 days in September 2024 and up from 31 days in August.
+ Some 30% of sales were first-time homebuyers, up from 26% in September 2024 and 28% in July.
+ 30% of transactions were cash sales, level with September 2024 and up from 28% in August.
+ Some 15% of transactions were individual investors or second-home buyers, down from 16% in September 2024 and down from 21% in August.
+ 2% of sales were distressed sales including foreclosures and short sales, unchanged from August and September 2024.
