US Existing Home Sales Miss Estimates in October

• The prior month's figure was 3.99m.

The National Association of Realtors releases its existing home sales report on a monthly basis at 10:00 a.m. ET, typically during the third or fourth week of the month that follows. Because existing homes account for roughly 90% of all US home sales, this report provides the widest monthly snapshot of housing market conditions.

The main number represents a seasonally adjusted annualized sales rate, which includes single-family houses, townhomes, condominiums and co-ops. Since the data record completed transactions, they reflect contracts that were signed one to two months prior. The NAR's pending home sales index, published later each month, tracks contract signings and offers an earlier read on where closings are heading.

Additionally, the report contains the median existing-home price, which is not seasonally adjusted and is typically compared with the same month from the previous year. Because it is a median, the figure can be distorted by shifts in the mix of homes being sold — for instance, a higher proportion of luxury sales in a given month. Alternative measures that track repeat sales, such as the Case-Shiller index, provide a clearer sense of price trends.

Inventory data are among the most closely watched elements. The NAR reports the number of homes listed for sale as well as months' supply, which indicates how long it would take to sell the current inventory at the prevailing sales pace. A figure around six months is generally viewed as a balanced market. The report also monitors the share of sales going to first-time buyers, all-cash transactions, investor purchases and how long homes stay on the market.

Existing home sales rarely cause significant moves in broader financial markets. Their importance lies in showing how mortgage rates and affordability are influencing housing turnover. In recent years, sales have been constrained by the lock-in effect, as homeowners have been hesitant to give up low-rate mortgages, keeping inventory tight and prices elevated despite weak transaction volumes.