Multifamily starts, meanwhile, declined, the U.S. Census Bureau and the U.S. Department of Housing and Urban Development said.    

At the same time, the median-sales price declined from August, according to the RE/MAX National Housing Report. 

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At the same time, housing started declined, while days on market increased.

The amount a homebuyer needs to earn to afford a median priced starter home is down 0.4% from last year, marking the first annual decline since August 2020.

The latest reading of the National Association of REALTORS® Pending Home Sales Index shows a return to month-over-month growth after a decline in July.    

The 716,000 per-year rate of new-home sales topped the consensus estimate of 700,000. 

The 2.5% decline followed a 1.3% increase in July, according to the National Association of REALTORS®. 

The city ranked No. 2 in the U.S. for active inventory, according to the latest RE/MAX National Housing Report.    

Mortgage rates have been dropping in recent weeks in anticipation of the Fed’s move.

The expectation of a rate cut this week, and the potential for more later in the year, has already moved mortgage rates lower.

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Specifically, prices rose 4.3% annually after growing by 4.7% in June. 

The latest National Association of REALTORS® Confidence Index Survey found that 16% of respondents expect a year-over-year increase in buyer traffic in the next three months, compared to 13% a month earlier.

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The pace of home sales increased 1.3% from June after months of decreases, the National Association of REALTORS® said.