More sellers are trimming asking prices, but high mortgage costs and canceled deals show that improved negotiating leverage has not yet made homes affordable for many buyers.
The U.S. housing market is offering sellers fewer guarantees and buyers little relief. Asking-price cuts have become more common, listings are outnumbering buyers in major metropolitan areas, and a record share of home-purchase deals fell apart in September. Yet mortgage rates remain elevated, leaving many households unable to take advantage of the shift in negotiating power.
In September, 21% of listings had their initial asking price reduced, the highest share in four years, according to data reported by WDBO on October 25. The national median listing price fell 1.2% from a year earlier to $419,250, marking its 11th consecutive monthly decline. Redfin’s analysis, also reported by WDBO, found about 63% more sellers than homebuyers across the 50 largest U.S. metropolitan areas.
Those figures point to a market where sellers are adjusting expectations, but do not establish that homes have become broadly affordable. The median listing price is not the same as the price buyers ultimately pay, and a lower asking price does not solve the challenge of financing a purchase at current rates.
The mortgage-rate backdrop remains a significant obstacle. The average rate on a 30-year fixed mortgage fell to 7.32% for the week ending October 22, from 7.40% the week before, according to The Associated Press. It was the first weekly decline since late August. The average 15-year rate also edged down, to 6.68% from 6.71%.
The small retreat does little to erase the run-up since late winter. At the latest average rate, borrowing $400,000 costs roughly $355 more per month than at the 5.98% rate recorded in late February, the AP reported. Fannie Mae’s forecast, cited by the AP, puts the average 30-year rate at 7.4% in the fourth quarter of 2026 and 7.5% in 2027, suggesting buyers should not count on a quick return to lower financing costs.
Sales data show the market moving, but not briskly. Existing-home sales rose 1.5% in September from August, reaching a seasonally adjusted annual rate of 3.99 million, according to National Association of Realtors data summarized by Ground News. Sales were still down 2.2% from a year earlier. The median sale price was $417,500, up 1.3% year over year, while inventory increased 1.9% to 1.6 million homes, equivalent to 4.8 months of supply.
The gap between a signed contract and a completed purchase has also widened. Redfin data summarized by Ground News showed that 14.5% of homebuying deals that went under contract in September were canceled, a record share. The same summary put the proportion of active-listing sellers who reduced asking prices at 19.8%, a separate measure from the 21% figure reported by WDBO for initial asking-price reductions.
The figures describe a market in which discounts and additional inventory have not reliably converted into completed transactions. Buyers may have more room to negotiate than in a seller-dominated market, but financing costs, prices and uncertainty can still make a deal untenable. Sellers, meanwhile, may face the prospect of cutting prices or waiting longer to move.
That distinction matters for households weighing a move, a job change or a larger home: a market can cool without becoming affordable. The latest data show some easing in prices and mortgage rates, but not a broad reset in the cost of buying. They also offer no basis for concluding that every market or household is experiencing the same conditions.
Deborah Cole serves as a Senior Correspondent for Just Right News, where she spearheads the network’s coverage of Housing, Infrastructure, and Mobility. With a career defined by a commitment to rigorous reporting and a focus on the fundamental pillars of American community life, Deborah brings a principled perspective to the complex issues that dictate how and where we live. Her work is grounded in the belief that sound policy, fiscal responsibility, and respect for private property are the essential foundations of a prosperous society.
Originally from Boston, Massachusetts, Deborah’s upbringing in one of the nation’s oldest and most historically significant cities deeply influenced her professional trajectory. Growing up amidst the architectural legacy and dense urban planning of New England, she developed an early appreciation for the importance of durable infrastructure and the role of local tradition in shaping neighborhoods. Her perspective is informed by the classic American values of her hometown—hard work, community cohesion, and a healthy skepticism of top-down bureaucratic mandates that often overlook the unique needs of individual citizens.
Today, Deborah operates from her base in Austin, Texas, a city that serves as a primary laboratory for her reporting. Austin’s rapid expansion and its status as a hub for innovation and migration provide her with a front-row seat to the most pressing challenges in modern infrastructure and housing. From the Lone Star State, she chronicles the tensions between rapid growth and the preservation of the American Dream, often highlighting how market-driven solutions and deregulation can address the housing shortages that plague many of the country’s metropolitan areas.
At Just Right News, Deborah is perhaps best known for her signature feature series, “Where We Live.” Through this platform, she explores the intersection of public policy and private life, moving beyond mere statistics to tell the stories of families, small business owners, and local developers. Her reporting frequently highlights the importance of mobility—not just in terms of transportation and transit, but as a vehicle for economic opportunity and social stability. She remains a staunch advocate for the taxpayer, consistently scrutinizing government spending on large-scale projects and advocating for transparency in how infrastructure dollars are allocated.
Deborah’s beat is more than just a collection of policy topics; it is an investigation into the physical and legal structures that allow families to flourish. Whether she is reporting on the impact of zoning laws on suburban development or the necessity of maintaining the nation’s highway systems, her work is characterized by a dedication to the facts and a respect for the constitutional principles that protect the rights of homeowners.
As a Senior Correspondent, Deborah Cole continues to be a vital voice for Just Right News, providing the audience with the clarity and context needed to navigate an ever-changing landscape. Her reporting ensures that the values of individual liberty and local sovereignty remain at the forefront of the national conversation regarding the future of our cities and towns. Through her tireless efforts, she remains committed to informing the public on the issues that hit closest to home.