Price Reductions Hit 20.4% of Active Listings

With over two decades navigating the lending landscape, I’ve seen how market shifts ripple through both buyers and sellers. In mid-Q3, we watched the percentage of price reductions climb to 20.4% of active listings nationwide—clear evidence of higher borrowing costs putting pressure on home demand. The average 30-year fixed mortgage rate peaked near 6.7%, remaining elevated and closing the quarter over 20 basis points higher than at its start. Even as contracts dipped by less than 1% (ending an eight-month run of gains), the market stayed active: median list prices nationally dropped to $424,500, active listings rose about 4%, and new listings edged down slightly. Fewer homeowners chose to delist, with a 13% decrease, while slower activity allowed buyers more time and negotiating power. Still, sellers who priced strategically found success. As we look ahead, it may not just be about rates dropping, but about stability—if mortgage rates hover around 6.7%, we might see more price cuts or withdrawn listings. Lending experience tells me: in markets like these, understanding your options is crucial to making the right move.