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Existing Home sales dropped 2.2% during September. Analysts at Wells Fargo point out that despite the monthly drop, lower mortgage rates are providing a lift to the housing market, and resales are up 3.9% over the year. They added home prices continue to move higher.  

Key Quotes:  

“The monthly decline was owed to a 2.6% fall in single-family sales, while condo sales rose 1.7%. Sales fell in every region, but the Midwest saw the largest drop (-3.1%), perhaps a byproduct of the ongoing UAW-GM strike which began in September.”

“While buying conditions have improved, the continued lack of inventory on the market is likely limiting sales. Inventories fell 2.7% year-over-year to 1.83 million, the 4th consecutive decline.

“Solid demand and a shortfall of homes for sale is putting upward pressure on prices. The median single-family home price rose 6.1% to $275K, the strongest annual gain since early 2017.”