NAR Chief Economist Lawrence Yun suggested that uncertainty surrounding the upcoming U.S. presidential election on November 5 could also be contributing to buyer hesitancy. Although there’s no concrete evidence that the election is impacting decisions, major financial commitments like home purchases are often deferred during times of political uncertainty.
Housing Inventory and Prices
Despite the weak demand, the housing supply grew by 1.5% to 1.39 million units in September, marking the highest level since October 2020. Inventory is now 23.0% higher than a year ago, offering more choices to consumers. However, prices remain elevated. The median home price rose by 3.0% year-on-year to $404,500, with all U.S. regions experiencing price increases.
At the current sales pace, it would take 4.3 months to clear the existing home inventory, up from 3.4 months a year ago. This inventory level is closer to the four-to-seven-month…
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