by Year-over-year sales declined in the Northeast, Midwest and West and were unchanged in the South
WASHINGTON — Existing home sales declined 1.2% from August 2025 and declined 2% from July, the National Association of Realtors reported Thursday.
Sales totaled 3.98 million, marking the first time that sales activity fell below 4 million since June 2025, the NAR said.
Year-over-year sales declined in the Northeast, Midwest and West and were level in the South, and month-over-month sales declined in the Northeast, Midwest and South and were level in the West.
Officials attributed the decline to still-high mortgage rates which were at 6.67% for a 30-year fixed-rate mortgage, which is up from 6.59% in August 2025 and up from 6.54% in July, according to Freddie Mac.
The average 30-year fixed-rate mortgage in August, according to Freddie Mac, was up from 6.54% in July and up from 6.59% one year ago.
“Mortgage rates and home sales move in opposite directions, so it’s not surprising to see a mild dip in homebuying activity due to high mortgage rates,” said NAR Chief Economist Lawrence Yun. “Still, home prices are rising, and existing home sales are actually up 1.6% year-to-date through the first eight months of the year. Homebuying demand, despite higher interest rates, is no doubt being supported by rising wages, which grew 3.1% in August, along with 643,000 net new jobs added since the start of the year. Job creation and wage growth typically drive housing demand.”
Meanwhile, the median price for all housing types was $429,100, up 1.6% from $422,400 in August 2025 and the 38th consecutive month of year-over-year price increases.
Total housing inventory was 1.62 million units, up 5.9% from August 2025 and 3.2% from July. The NAR reported this also is the first time it had exceeded 1.6 million units since November 2019. This represents a 4.9-month supply of unsold inventory, which is up from 4.6 months in August 2025 and July.
Yun noted that the 4.9-month supply is the highest level in more than 10 years, which he said is giving “homebuyers better opportunities to negotiate.”
Single-family home sales totaled 3.62 million, or 91% of the total, which was down 1.1% from August 2025 and down 1.9% from July. The median price was $434,800, up 1.7% from August 2025.
Condominium and co-op sales totaled 360,000, down 2.7% from August 2025 and July. The median price of these units was $371,600, up 1.5% from August 2025.
By region, the activity was as follows:
+ In the Northeast, home sales totaled 480,000, down 2% from August 2025 and down 4% from July. The median price was $556,900, up 4.3% from August 2025.
+ In the Midwest, sales totaled 940,000, down 2.1% from August 2025 and down 3.1% from July. The median price was $340,400, up 3.3% from August 2025.
+ In the South, sales totaled 1.84 million, unchanged from August 2025 and down 1.6% from July. The median price was $366,500, up .7% from August 2025.
+ In the West, sales totaled $720,000, down 2.7% from August 2025 and unchanged from July. The median price was $619,100, down .2% from August 2025.
Other highlights from the report were as follows:
+ Homes were on the market for a median of 31 days, unchanged from August 2025 and up from 29 days in August.
+ Some 30% of sales were first-time homebuyers, up from 28% in August 2025 and up from 29% in July.
+ Cash sales represented 27% of transactions, down from 28% in August 2025 and up from 26% in July.
+ Individual investors or second-home buyers represented 15% of transactions, down from 21% in August 2025 and up from 14% in July.
+ Two percent of sales were distressed sales including foreclosures and short sales, unchanged from August 2025 and July.
