US existing home sales fall to lowest since 2010

US existing home sales fell in October to their lowest level since August 2010, as higher borrowing costs weighed on buyers, the National Association of Realtors said.

Sales of previously owned homes dropped 8.8% from a year earlier to a seasonally adjusted annual rate of 3.75 million, according to NAR estimates.

NAR Chief Economist Lawrence Yun said home buying was difficult with mortgage rates near their highest levels since 2000, apart from one month in 2023. Freddie Mac put the current rate for a 30-year mortgage at 7.18%.

The median US home price rose 0.4% from a year earlier to $416,700 in October, while total housing inventory increased 4.6%.

Yun said the weak sales pace during a period of consistent job growth could point to sizeable pent-up demand if mortgage rates decline.