Inventory ticks up but remains tight
Existing-home sales in the United States posted a 1.5% gain in September, reaching a seasonally adjusted annual rate of 4.06 million units, according to the latest National Association of REALTORS (NAR) Existing-Home Sales Report.
However, inventory challenges persisted. September’s 1.55 million units represented a 4.6-month supply at the current sales pace, up from 4.2 months a year ago. Properties typically stayed on the market for 33 days, compared to 28 days last September.
First-time buyers made up 30% of transactions, up from 26% a year earlier, but still below the 40% share many experts consider healthy for market growth.
“For buyers, low inventory and mortgage rates, from an affordability standpoint, are still a challenge,” said Holly David, an agent in Richmond, Virginia.
“For sellers who are locked in to a 3% [mortgage] rate, even though they may have a housing want or need, they may not be willing or able to make a move.”