Core Insights - Sales of previously owned homes increased by 1.5% in September compared to August, reaching a seasonally adjusted annualized rate of 4.06 million units, marking the highest pace in seven months despite being slightly below analyst forecasts [1] - Year-over-year, sales were up 4.1% compared to September of the previous year [1] Regional Performance - On an annual basis, sales were strongest in the South and Northeast regions, while the West saw the highest monthly sales increase from August, and the Midwest experienced a slight decline [2] - The average mortgage rate for a 30-year fixed loan decreased from 6.67% in early July to 6.17% by the end of September, contributing to the sales increase [2] Market Dynamics - Falling mortgage rates are positively impacting home sales, with improved housing affordability also playing a role in the sales increase, according to the chief economist of the National Association of Realtors [3] - Inventory of homes for sale rose by 14% year-over-year to 1.55 million units at the end of September, although this remains historically low [3] - At the current sales pace, there is a 4.6-month supply of homes available, with a balanced market typically considered to have a six-month supply [3]