Nicole Friedman of The Wall Street Journal reports that home prices remain high, and many buyers are sticking to the sidelines despite falling rates. Freidman writes:
U.S. home sales fell in August as the recent decline in mortgage rates failed to offset home prices that remain near record highs.
Sales of previously owned homes in August fell 2.5% from the prior month to a seasonally adjusted annual rate of 3.86 million, the National Association of Realtors said Thursday, the fifth time sales have declined over the past six months.
The average rate for a 30-year fixed mortgage has slid steadily from the spring to 6.09% this week, the lowest level in more than a year, according to Freddie Mac. […]
Homes typically go under contract a month or two before the contracts close, so the August data largely reflect purchase decisions made in July and June, before new rules for how real-estate agents get paid went into effect in most of the country.
News Corp, owner of the Journal, also operates Realtor.com under license from NAR.
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