New listings dropped 7.5% in October, but persistent inventory levels and steady price cuts suggest a softening market as sellers struggle to find buyers at current valuations.
The October report shows new listings down 7.5% year over year and price cuts near September's level, pointing to a softening US housing market. Weaker housing activity can weigh on growth and inflation expectations, which tends to pull Treasury yields lower, but the report contains no direct rate commentary.
Realtor.com's October housing report reveals a 7.5% year-over-year decline in new listings, yet total inventory continues to grow as homes remain on the market longer. Sellers are increasingly utilizing price cuts to attract buyers, signaling a cooling trend in the US housing sector.
Inventory is accumulating because homes are remaining on the market for longer durations, meaning the rate of sales is not keeping pace with the existing supply.