High Mortgage Rates Continue to Challenge Homebuyers, Especially First-Timers

Mortgage rates near 8% and low inventory continuing to keep homebuyers, especially first-time buyers, out of the market.

Existing home sales fell 2% in September to 3.96 million, down 15% from a year ago. Median home price dropped to $394,300.

Mortgage rates averaged 7.63% this week, further impacting affordability. First-time buyers should ask about down payment assistance.

Total housing inventory was up 2.7% from August but down 8.1% from a year ago. Supply sits at 3.4 months.

All-cash sales accounted for 29% of transactions as higher rates drive out borrowers. Competition slowing but multiple offers still common.