#United States #Seattle #Housing Market #Home Prices #Redfin

U.S. Home-Sale Prices Experience First Decline in Over Three Years

In a significant shift for the U.S. housing market, the median home-sale price has recorded its first decline in over three years, following a comprehensive analysis by Redfin, a prominent real estate brokerage. Data for the four weeks ending October 25, 2026, reveals that the median home-sale price has dropped to $389,601, representing a slight decrease of 0.1% compared to the same period last year. This decline is particularly notable following a 0.2% decrease recorded in the previous week, marking two consecutive weeks of downward movement in home prices after an extended period of growth.

A Look at Home Buying Trends

In conjunction with this price drop, homebuying demand has plummeted to an all-time low, underscoring a faltering confidence among potential buyers. According to the report, pending home sales—indicating future transactions—have fallen by 1.8% week-over-week, reaching the lowest level since Redfin began tracking these figures in 2021. This downward trend has been consistent across all 50 of the largest metropolitan areas in the U.S. for the past three weeks, further suggesting a significant slowdown in the housing market.

The monthly financial burden for homebuyers has reached alarming levels, with the median monthly mortgage payment hitting an impressive $2,786. This figure is up 10.7% from the previous year and represents the second-highest level ever recorded by Redfin, just shy of the previous week’s record. The current average mortgage rate is approximately 7.32%, a minor decrease from 7.4% the week prior, but still dangerously close to the highest rates in three years.

Seller Sentiment and Market Supply

Amid discouraging demands from the buyer side, potential sellers are becoming increasingly cautious. New listings have decreased by 0.6% compared to the prior week, marking the lowest influx of new homes since early this year. This shrinking supply of new listings comes as a response from homeowners who are reacting to the weakened homebuying demand, creating a paradox where total homeinventory is starting to creep up despite fewer new homes entering the market.

Statistically speaking, while total supply has crept up by 0.3% week over week, the number of pending sales is declining even faster, resulting in a scenario where there are hundreds of thousands more sellers than buyers across the nation. This imbalance has provided buyers with greater negotiating power than they have had in over a decade, a situation that was virtually unheard of during the booming periods of the past few years.

Key Housing Market Statistics

The Redfin report highlights several key statistics from its national database, which encompasses data from over 900 metro areas and has been collated over the past several weeks. Here’s a breakdown of some critical findings:

• - Median Sale Price: $389,601 (decrease of 0.1%)
• - Median Asking Price (Seasonally Adjusted): $400,703 (increase of 1.2%)
• - Median Monthly Mortgage Payment (Seasonally Adjusted): $2,786 at a mortgage rate of 7.32% (increase of 10.7%)
• - Pending Sales (Seasonally Adjusted): 276,352 (decrease of 15.9%; lowest level recorded)
• - New Listings (Seasonally Adjusted): 352,421 (decrease of 4%; lowest since January)
• - Total Active Listings (Seasonally Adjusted): 1,510,619 (increase of 2.2%; up 0.3%)
• - Months of Supply: 4.5 months, a sign of a balanced market

Despite these changes in statistics and buyer sentiment, Redfin economists suggest that understanding the broader context of these fluctuations is important. They indicate that the combination of high mortgage rates, elevated monthly payments, and the economic climate is influencing the current housing landscape, giving rise to adaptive strategies among both buyers and sellers in this evolving market.

For further insights from Redfin's economists and comprehensive data on the housing market, visit Redfin’s official pages dedicated to market research and updates. This comprehensive snapshot of current conditions in the housing market provides a crucial understanding for potential buyers, sellers, and industry stakeholders alike.