Home Sales Slump to 12-Year Low as Mortgage Rates Deter Buyers

Existing home sales fell 2% in September to the slowest pace since 2010 as rising mortgage rates deter buyers.

Median home prices rose 2.8% versus last year to $394,300, but dipped from August.

Mortgage rates above 7% are pricing out many buyers and discouraging homeowners from selling.

Inventory remains low with only 1.13 million homes for sale, constraining choice for buyers.

All-cash buyers made up 29% of sales, while first-time buyers were only 27% amid high prices and rates.