U.S. Existing-Home Sales Fall 5.5% in October to Slowest Pace Since 2010; Inventory Hits Seven-Year High

Sales of previously owned U.S. homes fell in October to their slowest pace in more than 16 years, as mortgage rates that climbed to multi-decade highs pushed buyers out of the market. The National Association of Realtors released the figures on Thursday, Nov. 12, 2026.

Slowest pace since August 2010

Existing-home sales, which include single-family homes, townhomes, condominiums and co-ops, fell 5.5% from September to a seasonally adjusted annual rate of 3.75 million, according to NAR. Sales were 8.8% lower than in October 2025. NAR said it was the lowest level since August 2010, when the market was still recovering from the late-2000s housing crash.

The result was weaker than economists expected. The consensus forecast called for a pace of 3.85 million, and September's figure was revised down to 3.97 million from 3.99 million, Kitco News reported.

"Home buying is difficult when mortgage rates have climbed to their highest levels since 2000, aside from a single month in 2023," said NAR Chief Economist Lawrence Yun. "As a result, home sales fell to their lowest level since August 2010."

Rates drove the slowdown

The average 30-year fixed-rate mortgage was 7.33% in October, according to Freddie Mac data cited by NAR, up from 6.86% in September and 6.25% a year earlier. The rate reached a three-year high of 7.40% on Oct. 8 and has eased over the past four weeks, Realtor.com reported. Freddie Mac's weekly survey, released at noon Eastern time Thursday, showed the 30-year fixed rate averaged 7.11% as of Nov. 12, down from 7.18% a week earlier and the fourth straight weekly decline, the agency said. Freddie Mac said it was the lowest level in seven weeks. The 15-year fixed rate averaged 6.45%, down from 6.57%. A year earlier, the 30-year rate averaged 6.24%.

Sales fell from a year earlier in every price tier in October, including homes priced at $1 million and above, a segment that had held up better earlier in the year, according to Realtor.com.

Prices still edge higher

The median existing-home price for all housing types was $416,700, up 0.4% from $414,900 a year earlier. NAR said it was the 40th consecutive month of year-over-year price gains, and Realtor.com noted it was the highest median on record for the month of October.

The median single-family home price was $421,900, up 0.4% from a year earlier. Single-family sales fell 5.8% from September to an annual rate of 3.41 million. Condominium and co-op sales fell 2.9% to an annual rate of 340,000, with a median price of $365,100.

Inventory at a seven-year high

Total housing inventory rose 1.3% from September and 4.6% from a year earlier to 1.59 million units. That equals a 5.1-month supply at the current sales pace, up from 4.7 months in September and 4.4 months in October 2025. Realtor.com said the inventory count was a seven-year high and the months of supply the highest in 11 years.

NAR's Housing Affordability Index registered 100.7, down from 107.3 a year earlier. Affordability declined in all four regions: by 8.7% in the Northeast, 7.2% in the Midwest, 5.4% in the South and 5.2% in the West.

Regional picture

From September, sales fell 9.7% in the West to an annual rate of 650,000, 6.5% in the South to 1.73 million and 3.2% in the Midwest to 900,000. Sales in the Northeast were unchanged at 470,000. Compared with a year earlier, sales fell in all four regions, led by a 14.5% drop in the West.

Median prices ranged from $324,300 in the Midwest, up 1.5% from a year earlier, to $624,300 in the West, unchanged from October 2025. The Northeast median rose 3.2% to $519,600, while the South's slipped 0.4% to $360,900.

Who is buying

First-time buyers accounted for 29% of sales, down from 31% in September and 32% a year earlier. Cash sales rose to 29% of transactions from 27% in September. Individual investors and second-home buyers made up 20% of purchases, up from 16% a year earlier. Distressed sales, including foreclosures and short sales, remained at 2%. The median home spent 35 days on the market, compared with 33 days in September.

Yun said the country's 88 million homeowners "are largely in a comfortable financial position due to sizable housing wealth accumulation," and added that "there could be sizable pent-up demand if mortgage rates decline."

Daily rates move higher again

Borrowing costs rose again on Thursday. The average 30-year fixed rate tracked by Bankrate was 7.20%, the Wall Street Journal's Buy Side reported, up from the previous day. Zillow data showed a 30-year fixed purchase rate of 7.09%, up 11 basis points from Wednesday, Yahoo Finance reported.

The 10-year Treasury yield, a benchmark for mortgage rates, rose more than 7 basis points to 5.068% on Thursday, CNBC reported, as traders priced in a Federal Reserve rate increase in December. Chris Rupkey, chief economist at FWDBONDS, told CNBC that higher rates were "pushing the housing correction down into the depths of depression."

Realtor.com Chief Economist Danielle Hale said she expects sales to stay near long-time lows for the next few months. The October producer price index is due Friday, and the Fed's next policy meeting is scheduled for Dec. 8-9.