US real estate market in October: Sales of existing homes weaker than expected

US real estate market in October: Sales of existing homes weaker than expected

According to a report by finanzmarktwelt.de, new U.S. real estate data shows that existing U.S. home sales in October were weaker than expected at -4.1 percent, an annual rate of 3.79 million from the previous month. Sales fell by -14.6% year-on-year, while prices increased by a median of +3.4.%. This shows that the US real estate market is facing challenges.

The National Association of REALTORS® reports that sales are down in all four major regions of the United States. According to NAR Chief Economist Lawrence Yun, this is due to the ongoing shortage of housing supply and the highest mortgage rates in generations. Despite this, there are still several offers, especially for starter and mid-priced homes. Total housing inventory stood at 1.15 million units at the end of October, up 1.8% from the previous month. However, inventory fell 5.7% year-over-year.

Median house prices for all property types rose 3.4% in October compared to a year ago, showing that sales may have declined due to rising prices. The situation for buyers remains difficult, while sellers benefit from rising prices. This could lead to a further tightening of the real estate market and influence price developments in the coming months. It will be important to continue to closely monitor developments in the US real estate market.