Existing Home Sales Inch Higher in November as Lower Mortgage Rates Offer Modest Relief — Evening Brief – 12.19.25 

U.S. existing home sales ticked up 0.5% in November to a seasonally adjusted annual rate of 4.13 million, marking the third consecutive monthly gain but falling just short of the 4.15 million consensus forecast. October’s sales pace was revised slightly higher to 4.11 million from 4.10 million. 

Sales momentum was uneven across the country, with gains in the Northeast and the South—the nation’s largest region—reaching their highest levels since early this year. Activity was flat in the West and declined in the Midwest. On a year-over-year basis, national sales remained down 1.0%, reflecting a market that is stabilizing but still constrained by supply dynamics. 

The median sales price rose 1.2% from a year ago to $409,200, one of the softest annual gains since mid-2023, offering a sliver of relief on the affordability front. Lower borrowing costs helped support demand, with the average 30-year fixed mortgage rate slipping to 6.24% in November from 6.25% in October and 6.81% a year earlier. 

“Existing-home sales increased for the third straight month due to lower mortgage rates this autumn,” said NAR Chief Economist Lawrence Yun. “However, inventory growth is beginning to stall. With distressed property sales at historic lows and housing wealth at an all-time high, homeowners are in no rush to list their properties during the winter months.” 

Total housing inventory fell 5.9% month-over-month to 1.43 million units, though it remains 7.5% higher than a year ago. At the current sales pace, supply sits at 4.2 months, the tightest level since March. Yun noted that while wage growth is currently outpacing price gains—boosting affordability at the margin—the lack of new listings remains a long-term risk. “Future affordability could be hampered if housing supply fails to keep pace with demand,” he added.