Home Sales Rose in September for the First Time Since Spring
- Existing home sales nudge up 1.5% as buyers scrambled to lock in summer rate plateaus.
- September marks the first monthly gain since May, offering a sliver of hope to a frozen market.
- Recent mortgage rate surges threaten to kill the momentum before it even starts.
- Inventory remains the real villain as sellers refuse to trade their 3% rates for today's reality.
Brief Summary
The housing market finally exhaled in September, posting a modest 1.5% increase in existing home sales. Buyers clearly tried to capitalize on a brief summer lull in mortgage rates before the recent spike in borrowing costs hit the fan. Despite the uptick, sales are still hovering at a sluggish annual rate of 3.99 million, proving that the market is stuck in the mud.
Why This Matters
If you are looking to buy, this slight bump is a reminder that competition for the few decent homes on the market remains fierce. With mortgage rates back on the climb, your purchasing power is shrinking by the week. If you are a seller, it shows there is still demand, but you are playing a game of chicken with buyers who are increasingly priced out by the cost of financing. Expect the market to remain a slog until rates stabilize or inventory finally breaks its stalemate.