First, the bad news – the National Association of Realtors reported September 19 that the number of existing-home sales fell in August, and the latest statistics from the New Orleans Metropolitan Association of Realtors shows a downward trend as well. But the good news is that average sales prices continue to surge locally and nationally, and mortgage rates have dropped to their lowest levels since February 2023, which may improve closed sales numbers for the remainder of the year. Nationally, total existing-home sales, which are completed transactions that include single-family homes, townhomes, condominiums and co-ops, dropped 2.5% in August to a seasonally adjusted annual rate of 3.86 million. Sales slid 4.2% nationally from one year ago (NAR August Report). That was the lowest August sales level since 2010. In the New Orleans metro area, the number of closed sales dropped 11% year-over-year in August with 1,009 homes sold, compared to 1,134 last August. Year-to-date, the closed sales numbers are down 8.3% with 7,953 homes sold in the New Orleans metro area through August of this year, compared to 8,676 homes sold during the same period last year. These local statistics are according to the NOMAR Local Market Update – August 2024. NOMAR considers New Orleans metro as 10 parishes – Jefferson, Orleans, Plaquemines, St. Bernard, St. Charles, St. John, St. James, St. Tammany, Tangipahoa, and Washington.All major New Orleans metro parishes also experienced double digit percentage decreases in the number of closed sales in August. St. Tammany Parish had the largest decreased, dropping 15.7% YTD, with 280 this past month compared to 332 last August. Orleans Parish closed sales decreased 13.9% with 198 last month, down from 230 last August. Jefferson Parish saw closed sales decrease 10.4% with 285 last month, compared to 318 last August. However, there may be light at the end of the tunnel for realtors. The standard, 30-year fixed-rate mortgage stands at 6.09%, and the 15-year fixed-rate mortgage rate is at 5.15%, according to Freddie Mac. The 30-year fixed rate is down from last week’s 6.20% and at the lowest level since early February 2023. The Federal Reserve cut interest rates by a half point September 18, the first rate cut since March 2020. This rate cut could also help further lower mortgage rates and assist the housing market. In the meantime, average home sales prices continue to climb, both nationally and locally.Nationally, according to the NAR, home prices increased 3.1% up to $416,700. It was the 14th straight year-over-year increase and a record for August home prices. In New Orleans metro, the average sales price increased 6.5% to $337,418 in August 2024, compared to $316,711 last August. Average home sales prices are also up 5% YTD. Orleans Parish saw the largest increase in average sales prices in August, jumping 14.8% to $466,597, compared to $406,551 last August. Jefferson Parish increased 6.5% YOY to $308,634, while St. Tammany Parish increased 5.2% YOY, up to $360,094 in August. The average days on market continues to be a problem across the New Orleans metro area. In August, homes spent an average of 65 days on the market, up 32% YOY compared to 49 DOM last August. Orleans Parish has the highest DOM average with 79 this past month, up 27.4% from the 62 DOM average last August.