We’re seeing a shift in the national real estate landscape: 20.4% of active listings have undergone price reductions. After eight consecutive months of growth, homes going under contract dipped by less than 1% year-over-year in mid-Q3—evidence of how higher borrowing costs are starting to put the brakes on demand. The average 30-year fixed mortgage rate peaked near 6.7% early in mid-Q3 and remained elevated, closing out the period more than 20 basis points above where it started. Even as demand softened, the market kept moving: the national median list price dropped to $424,500, active inventory increased by about 4%, and new listings slipped just a bit. Interestingly, fewer sellers stepped away—delistings fell roughly 13%—so buyers gained a bit more time and negotiating leverage, while sellers who priced strategically still found success. With over two decades in real estate, I’ve seen how steadier, not just lower, mortgage rates can influence both buyer and seller decisions. If we continue to see rates hover near 6.7%, sellers may need to consider further price adjustments or even rethink listing altogether. Navigating these changes is never simple, but insight and experience remain powerful tools for making the right move.
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