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edfin’s latest data shows a U.S. housing market that looks calm but is actually under strain. Mortgage rates have eased from last year’s highs, yet buyers remain hesitant, and homes are staying on the market longer than in recent years. In late‑October, pending sales rose by less than 1%—the smallest monthly gain since early summer—indicating that lower borrowing costs alone are no longer enough to reignite demand.

    The average property lingered 48 days in October, the longest period since 2019, as buyers trade speed for scrutiny. They extend their searches, demand more value, and are looking for the “perfect” home rather than rushing to lock in a mortgage. Affordability remains the main friction point. The median sale price is up 2% year‑over‑year to about $392,000, while asking prices have climbed nearly 3% to roughly $395,500, signaling that sellers still feel they have leverage. The average monthly mortgage payment has slipped to roughly $2,508—a 2% decline tied to modest rate relief—but home prices have not followed suit.

    Sellers, meanwhile, remain confident, citing strong demand and limited inventory, which keeps asking prices high. The median sale price’s 2% YoY rise is the largest increase in six months, while the average mortgage payment’s 2% decline is modest in comparison.

    Bidding behavior paints a more balanced picture. Only 23% of recent sales exceeded the listing price—down from 26% a year ago—and the sale‑to‑list ratio fell to 98.3%, giving buyers a modest edge. Sellers are not signaling weakness, yet buyers are wary, slowed by high borrowing costs, job uncertainty, inflation fatigue, and narrowing financial safety nets. Many are extending their searches in hopes of finding the right house at the right price, which has led to fewer bidding wars and a slight shift in negotiating power, but overall momentum remains sluggish.

    The broader economic backdrop—rising unemployment, stubborn inflation, weakened consumer sentiment, and thin household savings—further dampens buyer enthusiasm. Many potential buyers are waiting for clearer signals, greater stability, or the right property at the right price.

    Thus, the market is in a cautious stall: longer time on market, fewer bidding wars, and a modest shift in buyer leverage, but no dramatic collapse.