Purchases of previously owned homes increased in September from August, but remained below year-earlier levels as high borrowing costs and elevated prices kept many buyers on the sidelines.
• The monthly gain offered limited relief to a housing market that has struggled to build momentum.
• Mortgage rates have risen sharply from the lows of recent years, increasing monthly payments and reducing purchasing power.
• Home prices remain historically high in many markets, even as demand cools.
• Tight housing inventory continues to restrict choices for buyers and helps keep prices elevated.
• Economists are watching whether lower rates, improved inventory or easing prices can bring more buyers back.
The September figures underscore the market’s central challenge: potential homeowners face expensive financing and limited affordable supply, while many existing homeowners remain reluctant to sell because they hold older mortgages with much lower rates. Until those pressures ease, sales are likely to remain uneven and below normal levels.