Existing-home sales fell again in September to a seasonally adjusted annual rate of 5.15 million, down 3.4% compared with August and down 4.1% compared with September 2017, according to the National Association of Realtors (NAR).
It was the lowest existing-home sales level since November 2015. Sales fell 2.9% in the Northeast, 3.6% in the West and 5.4% in the South, month-over-month. Sales were flat in the Midwest.
The drop means that existing-home sales have fallen for four of the past five months.
Existing-home sales were flat in August, month-over-month, but dropped in May, June and July.
NAR includes sales of town houses, condominiums and co-ops in with its results.
Not only did lack of supply and rising home prices continue to slow the housing market in September, rising interest rates also had some effect. In a statement, Lawrence Yun, chief economist for NAR, says rising interest rates are “preventing consumers from making quick decisions on home purchases.”
“All the while, affordable home listings remain low, continuing to spur underperforming sales activity across the country,” Yun says.
The median existing-home price for all housing types in September was $258,100, up 4.2% from $247,600 in September 2017.
September marked the 79th straight month of year-over-year gains, NAR reports.
As of the end of the month there were about 1.88 million existing homes available for sale, down from 1.91 million in August but up from 1.86 million a year ago. That’s a bout a 4.4-month supply at the current sales pace.
Properties typically stayed on the market for 32 days, up from 29 days in August but down from 34 days a year ago.
Forty-seven percent of homes sold in September were on the market for less than a month.
First-time buyers were responsible for 32% of sales in September, up from 31% in August and up from 29% in September 2017.
Distressed sales – including foreclosures and short sales – were about 3% of all sales, the lowest level since NAR began tracking in October 2008.
