Existing home sales in the United States increased in September 2026, but the housing market remained under pressure from elevated mortgage rates and rising prices. Sales rose 1.5% from August to a seasonally adjusted annual rate of 3.99 million units, while remaining 2.2% below September 2025. The median existing-home price reached $417,500, the highest September figure on record.
Key Overview
- Monthly sales growth: 1.5% in September.
- Annual sales rate: 3.99 million homes.
- Year-on-year sales change: Down 2.2%.
- Median home price: $417,500, up 1.3% year-on-year.
- Housing inventory: 1.60 million homes at the end of September.
- Mortgage pressure: The average 30-year fixed mortgage rate reached 7.40% in the week before the report.
US Home Sales Recover Slightly in September
Sales of previously owned homes in the United States increased in September, offering a modest monthly improvement after a difficult period for the housing market. Existing-home sales rose 1.5% last month from August, reaching a seasonally adjusted annual rate of 3.99 million units.
The increase was slightly stronger than economists had expected. However, the figures also reflected a downward revision to August sales, meaning the September improvement did not necessarily indicate a broad recovery in buyer demand.
Compared with September 2025, sales were down 2.2%. The annualised sales pace has remained close to 4-million homes since 2023, well below the historical norm of approximately 5.2-million.
The latest figures suggest that buyers continue to face affordability challenges despite the monthly increase in transactions.
Home Prices Reach a September Record
Home prices continued to climb, adding to the financial pressure facing prospective buyers. The national median existing-home sales price increased 1.3% from a year earlier to $417,500, marking the highest September figure in records dating back to 1999.
The price increase also extended the market’s streak of annual price gains to 39 months in a row. Although the market has experienced subdued sales activity, limited affordability and borrowing costs have not yet produced a sustained nationwide decline in existing-home prices.
The September home sales figures highlight the tension between prices and transaction volumes: properties continue to command higher median prices even as fewer homes change hands than a year earlier.
For buyers, higher prices increase the amount of financing required, while elevated mortgage rates add to the monthly cost of homeownership. Together, these pressures can force households to delay purchases, reduce their budgets or search for less expensive properties.
Rising Mortgage Rates Weigh on Buyers
Mortgage costs remain a central challenge for the US housing market. The average 30-year fixed mortgage rate averaged 7.40% in the week before the September sales report, its highest level in nearly three years.
The rise in borrowing costs has reduced purchasing power for households relying on mortgages. Higher monthly payments can make homes that previously fitted a buyer’s budget unaffordable, even when the property price itself has not changed significantly.
Inflation concerns and rising long-term bond yields have contributed to the increase in mortgage rates. These pressures have been reinforced by higher energy prices and economic uncertainty.
The latest housing market report indicates that rising financing costs remain an obstacle to a sustained recovery in sales. If mortgage rates remain elevated, some prospective buyers may continue postponing purchases.
Context is everything. Stay ahead of shifting trends with today’s market updates, and uncover emerging opportunities using the Serrari Group Market Index and Marketplace. Then, take control of your own financial future by exploring our Money & Life Reset Transformation Blueprint ™ to build stronger habits, create better systems, and design a path toward lasting wealth.
Housing Inventory Gives Buyers More Choice
Despite affordability pressures, the supply of homes available for purchase has improved. Total housing inventory increased 1.9% from August to 1.60 million units at the end of September, representing a 4.6% increase from a year earlier.
At the current sales pace, the available supply represented approximately 4.8-month of inventory, unchanged from August. A supply of four to six months is traditionally considered broadly balanced between buyers and sellers.
The increase in listings gives prospective buyers more properties to consider and may improve their ability to negotiate prices and other terms. However, greater choice does not automatically make housing affordable when mortgage payments and property prices remain high.
Properties are also taking longer to sell. The median time a home spent on the market rose to 33 days in September from 31 days in August.
The combination of rising inventory and slower annual sales suggests that the market is gradually offering buyers more choice, even as borrowing costs constrain demand.
Outlook
September’s increase in existing-home sales provides a modest improvement, but it does not yet signal a sustained housing recovery. Sales remain below year-earlier levels, home prices continue to rise annually and mortgage rates are limiting the purchasing power of many households.
More inventory could gradually improve buyer negotiating power, particularly if properties remain on the market longer. However, the direction of mortgage rates will remain an important factor in determining whether more households can afford to purchase homes.
For the housing market to regain momentum, improved affordability and financing conditions will likely be as important as the availability of properties.
Frequently Asked Questions
1. How much did US existing-home sales increase in September 2026?
Sales rose 1.5% from August to a seasonally adjusted annual rate of 3.99 million units.
2. What was the median existing-home price?
The median price reached $417,500, up 1.3% from September 2025.
3. Why are mortgage rates affecting home sales?
Higher rates increase monthly loan repayments and reduce the amount buyers can afford to borrow, causing some households to delay purchases.
4. Is the US housing market recovering?
September sales improved month-on-month, but annual sales remained lower, prices continued to rise and mortgage costs remained elevated. The figures point to a market that is still under pressure rather than a confirmed recovery.
Your financial future isn’t something you wait for—it’s something you build.
The real question is: when do you begin?
Move beyond simply staying informed.
Navigate the markets with clarity—track trends through the Serrari Group Market Index, uncover opportunities in the Serrari Marketplace, and build practical knowledge with our Curated Wealth Builder Platform.
Stay connected to what truly matters.
Get daily insights on macro trends and financial movements across Kenya, Africa, and global markets—delivered through the Serrari Newsletter.
Growth opens doors.
Advance your career through professional programs including ACCA, HESI A2, ATI TEAS 7 , HESI EXIT , NCLEX – RN and NCLEX – PN, Financial Literacy!🌟—designed to move you forward with confidence.
See where money is flowing—clearly and in real time.
Track Money Market Funds, Treasury Bills, Treasury Bonds, Green Bonds, and Fixed Deposits, alongside global and African indexes, key economic indicators, and the evolving Crypto and stablecoin landscape—all within Serrari’s Market Index.
