US Existing Home Sales Fall to 14-Month Low in August

Sales of previously occupied U.S. homes fell in August to their slowest pace in more than a year as rising mortgage rates and climbing home prices weighed on buyers, according to data released Thursday by the National Association of Realtors. Existing home sales dropped 2 percent from July to a seasonally adjusted annual rate of 3.98 million units, the third straight monthly decline and the lowest level since June 2025. Sales were down 1.2 percent compared with August of last year, and the figure came in just below the 4 million pace economists had expected. The slowdown reflects the pressure of higher borrowing costs. The average rate on the popular 30-year fixed mortgage averaged 6.66 percent at the end of July and surged to 6.71 percent last week, its highest level in more than a year, according to Freddie Mac. Mortgage rates have climbed since the start of the war between the United States and Iran in late February, as expectations of higher inflation amid surging oil prices have pushed up the long-term Treasury yields that lenders use to price home loans. Rates have continued to rise in recent days amid a global bond market selloff.