Mid-October finds the U.S. housing landscape increasingly split. While overall inventory of unsold homes is beginning its usual seasonal decline, conditions vary widely by region — with parts of the Midwest and Northeast still starved for supply, and much of the Sun Belt carrying a surplus.
National Inventory Slips
Available inventory has edged down roughly 1% from early-August highs, marking a return to familiar autumn patterns. Fewer new listings and steady withdrawals are contributing to the pullback. Markets such as Florida and Texas have clearly passed their seasonal peaks, with listings trending lower for several consecutive weeks — Florida’s first consistent decline after nearly two years of steady gains.
A Modest Rise in New Listings
Roughly 80,000 new listings hit the market last week — a slight uptick compared to typical early-October activity. The increase suggests a small rebound in buyer interest, as many would-be sellers re-enter the market once they sense movement on the demand side.
Prices Hold Firm, Regionally Uneven
The median price for homes under contract rose slightly to about $400,000, roughly 1% higher than a year ago. Markets constrained by tight supply continue to see upward price pressure, while regions with elevated inventory levels are recording modest declines from 2024 pricing.
Pending Sales Show Gentle Momentum
Pending sales are tracking about 5% higher than this time last year. States with more abundant listings, such as Florida and Texas, are leading that growth. In contrast, low-inventory markets like New York and Illinois remain flat, with limited stock restricting transaction volume.
Price Cuts Level Off
Roughly 40% of active listings have seen price adjustments — a high rate by historical standards but largely unchanged since midsummer. The steadiness implies that while sellers remain flexible, slight improvements in demand and reduced supply are keeping broader price erosion in check.
The Takeaway
Mortgage rates remain elevated and movement in the market continues at a cautious pace. For both investors and brokers, local inventory dynamics remain the most decisive factor shaping pricing power and sales velocity this season.
