Existing-home sales ticked up in November, but the inventory squeeze is still the headline

Existing-home sales finally nudged higher in November, giving you a rare data point that is not pointing straight down. Yet the real story is how little that uptick changes the daily reality of tight listings, fast-moving properties, and buyers still chasing too few homes. If you are trying to read the market’s direction heading into 2026, you need to weigh that modest sales gain against an inventory squeeze that continues to define almost every decision.

Sales are rising, but only just

You are looking at a market that is technically improving, but only by inches. Nationally, existing-home transactions in November ran at a seasonally adjusted annual rate of about 4.13 m, a level that reflects a 0.5% Month Over Month increase rather than a breakout surge. That pace is consistent with a slow thaw rather than a full spring, and it leaves overall activity well below the boom years that shaped many buyers’ and sellers’ expectations.

Viewed another way, you are seeing a market that has strung together a few months of incremental progress without yet proving that a durable expansion is underway. The same 4.13 m figure appears in the Existing Home Sales Housing Snapshot, which underscores how modest that improvement is relative to historic norms. For you, that means the November bump is worth noting, but it is not strong enough on its own to reset pricing power or dramatically change negotiating leverage.

Why the November bump matters anyway

Even a small gain can matter when it breaks a pattern of stagnation. Existing transactions have now edged higher for several consecutive months, and that consistency suggests that buyers are slowly adapting to the new rate and price environment. One analysis of Existing home sales notes that November marked the third straight monthly increase, a sign that demand is no longer in free fall even if it remains constrained.

At the same time, you should not confuse “less bad” with “good.” Another look at Existing Home Sales in the United States shows activity rising to 4130 Thousand in November from 4110 Thousand in October of 2025, which is progress but hardly a boom. For buyers and sellers, that means the November bump is more of a sentiment stabilizer than a game changer, a reminder that the market can move in your favor but is unlikely to do all the work for you.

Inventory is still the main constraint

If you feel like there are not enough homes to choose from, the data backs you up. One national review of Housing inventory reports that supply fell 5.9% in November from October, even as sales ticked higher. That combination, more deals with fewer listings, is exactly what keeps the market tight and prevents prices from easing in a way that would materially improve affordability.

Regional data tell a similar story. A separate survey of 51 m metro areas found that Active inventory was up 14.5% Year over Year even as new listings fell 8.3%, a pattern that reflects how slowly fresh supply is coming to market. For you, that means the squeeze is not just about how many homes exist, but how many owners are actually willing to sell into current conditions, and that reluctance is what keeps choice limited even when headline inventory metrics appear to improve.

Prices are sticky at high levels

With supply this tight, you should not expect prices to give you much relief. The Existing Home Sales Housing Snapshot shows that November 2025 brought 4.13 m in sales and a median sales price of $409,200, along with a separate reference to 4.2 m, which together highlight how little room there is for broad-based discounts when inventory is scarce. Another national report on November deals pegs the median price of a home sold at $409, a shorthand that still reinforces the same basic reality: you are shopping in a market where the typical property costs just over four hundred thousand dollars.

Those figures are not just abstract benchmarks, they shape how you negotiate and what you can realistically expect to pay. When you combine a $409,200 median with a 5.9% monthly drop in listings, you get a market where sellers feel little pressure to cut, and buyers who wait for a big reset may find themselves chasing the same limited pool of homes. That is why, even with a modest 0.5% gain in sales, the pricing environment still feels unforgiving if you are trying to buy your first place or trade up.

Time on market shows demand is real

One way you can gauge how competitive conditions are is by looking at how long homes sit before going under contract. According to the REALTORS Confidence Index for November, the Median time on market for properties was 36 days, up slightly from 34 days in the prior month, as reported in the Dec summary of existing-home activity. That two-day increase suggests a bit more breathing room for buyers, but it still points to a market where well-priced homes do not linger for long.

For you, that 36 versus 34 day comparison is a reminder that demand has cooled from the frenzy of instant offers, yet remains strong enough to keep the balance tilted toward sellers in many neighborhoods. When you pair that timeline with the 4.13 m annualized sales pace, you are looking at a market that is functioning, not frozen, but still unforgiving if you hesitate on a property that fits your needs and budget.

Regional and “refuge market” shifts

Not every part of the country is moving in lockstep, and that matters if you are open to relocating. One breakdown of November activity notes that Sales of existing homes increased in two of four regions across the country, while growth is beginning to stall in others, according to a What did existing-home sales look like review of the data. That split means your experience in, say, the Midwest may look very different from what friends are seeing on the coasts.

Layered on top of that is the rise of so-called refuge markets, places where buyers are finding greater opportunities in the Push and Pull dynamics of this Housing Market. One analysis of the Push Pull Effect Of November Housing Market describes how Refuge Markets Rise as buyers seek better value and slightly less competition. If you are flexible on location, those pockets of relative affordability and inventory can give you more leverage than you would have in the most supply-starved metros.

Mortgage rates and the “push and pull” on buyers

Your decision to move now or wait is being shaped by a tug-of-war between borrowing costs and limited supply. As mortgage rates eased from their peak, more buyers stepped off the sidelines, which helped Existing home sales rise for the third straight month, according to a Dec Existing recap of November’s modest gains. That improvement in financing conditions is one of the few clear positives you can point to as you weigh a purchase.

Yet the same rate relief that pulls you into the market also pulls in competing buyers, which is why the inventory squeeze still dominates your experience. Analysts tracking November 2025 existing-home sales note that activity built on recent momentum but did not fully erase earlier declines, and that buyer traffic was down slightly in November, according to a Dec Existing research snapshot. For you, that means lower rates help, but they do not magically create more listings, so the push and pull between affordability and scarcity remains unresolved.

Context: a historically weak year despite the uptick

To understand how constrained this market still is, you need to zoom out beyond a single month. One national overview of Home sales notes that transactions for the year are on track to be the lowest since 1995, even after a 7.5% improvement from November 2024 and a November gain that fell short of a 1.2% forecast. That backdrop helps explain why the mood among many buyers and sellers still feels closer to slump than recovery.

When you place the 4.13 m annualized pace next to that historical context, the November uptick looks more like a small step off the bottom than a return to normal. For you, the implication is clear: the market is still working through years of underbuilding, rate shocks, and pandemic-era distortions, and a single month of better numbers does not erase the structural challenges that keep both inventory and affordability under pressure.

How you can navigate a market defined by scarcity

Given all of this, your strategy has to start with accepting that the inventory squeeze is not going away overnight. You are operating in a landscape where Existing Home Sales in the United States have improved only slightly, where the Median time on market is still measured in just over a month, and where the typical home costs around $409,200, as reflected in the Home Sales Housing Snapshot. That combination rewards preparation: getting preapproved, knowing your budget ceiling, and deciding in advance which trade-offs you are willing to make.

At the same time, you can still find leverage by looking where others are not. The rise of refuge markets, the uneven pattern in which Sales of existing homes increased in only some regions, and the fact that Active inventory is up 14.5% Year over Year across 51 m metro areas, as highlighted in the Dec Year Active report, all point to the same conclusion: your best opportunities are likely to be hyperlocal. If you are willing to widen your search radius, adjust your wish list, and move quickly when the right listing appears, the November data suggest you can still make progress, even in a market where the inventory squeeze remains the headline.

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*This article was developed with AI-powered tools and has been carefully reviewed by our editors.