Homes Sales Experience Unusual 6.4% Decline in October

According to the RE/MAX National Housing Report for October 2021, which was released on Thursday (11-18-21), home sales fell -6.4% from September’s totals — nearly double the typical seasonal decline. The report notes that in the month of September home sales experienced near-record sales levels, which certainly contributed to the month-over-month decline.

Nationwide, the median sales prices in October was reported to be $336,000, a month where the national housing supply dropped 12.7% from September to the fifth-lowest level in the 14-year history of RE/MAX’s National Housing Report. The 1.3 months’ supply of inventory recorded in October tied for second lowest in Report history, alongside July and August of this year.

In comments prepared for the release of the report, Nick Bailey, President of RE/MAX said, “We’re seeing the effects of a long, sustained run-up in prices and month-over-month home sales and the market may be moving past the days of immediate sales, multiple offers, and bidding wars on virtually every property. That’s OK. The October dip in sales, especially after such a busy September, is a step toward a more balanced market, and was somewhat overdue.”

Bailey went onto say, “Home buyers may see some relief in price appreciation during the coming months, even as sales levels stay high. Sellers remain in a very strong position, but with price stabilization and the continuation of competitive interest rates, buyers may find the coming months to be more advantageous than anytime earlier this year.”