Existing-home sales in the United States fell 5.5% in October 2026 to a seasonally adjusted annual rate of 3.75 million units, the National Association of Realtors reported on November 12. That pace marks the slowest sales rate since August 2010 and missed market expectations of 3.85 million. Year-over-year transactions dropped 8.8%. High borrowing costs kept buyers sidelined. Sales declined month-over-month across the Midwest, South, and West, while the Northeast held steady. Total housing inventory rose 1.3% from September to 1.59 million units, up 4.6% from a year ago; at the current sales pace, unsold supply represents a 5.1-month buffer, up from 4.7 months in September.
Despite sluggish demand, home prices edged higher for the 40th consecutive month on an annual basis. The median existing-home price reached $416,700, up 0.4% from $414,900 in October 2025. Properties stayed on the market a median of 35 days, compared with 33 days in September.
Elevated financing costs remained the primary barrier for prospective buyers. NAR cited Freddie Mac survey data showing the 30-year fixed mortgage rate averaged 7.33% across October, up sharply from 6.25% a year earlier; as of November 12, the weekly average stood at 7.11%. NAR Chief Economist Lawrence Yun said, Home buying is difficult when mortgage rates have climbed to their highest levels since 2000, aside from a single month in 2023. NAR's Housing Affordability Index dropped to 100.7 from 107.3 a year ago, with affordability worsening in all four U.S. regions.
First-time buyers accounted for 29% of October sales, down from 32% in October 2025. Meanwhile, all-cash transactions held firm at 29% of the market, forcing financed buyers to compete against cash offers.
