Overview

• Sales of existing homes fell 2.5% in August to an annual rate of 3.86 million units, the lowest level since October 2023.
• The median home price increased by 3.1% year-over-year to $416,700, the highest on record for any August.
• The Federal Reserve cut interest rates by 50 basis points, the first reduction since 2020, which is expected to lower mortgage rates further.
• Housing inventory rose to 1.35 million units, a 22.7% increase from a year ago, translating to a 4.2-month supply at the current sales pace.
• First-time buyers accounted for just 26% of sales, matching the all-time low, while all-cash sales made up 26% of transactions.