Sales of previously owned U.S. homes rose 1.5% in September to a rate of 4.06 million units, the highest since February. The median sales price increased 2.1% to $415,200, marking the 27th straight month of annual price growth.

Compared to last year, sales surged 4.1%, slightly below economists’ expectations. The housing market has been slow since 2022 due to rising mortgage rates. However, rates began to drop in July, leading to increased home sales.

Buyers likely took advantage of lower rates in July and August, with 30-year mortgage rates dropping to 6.27% in September. The Federal Reserve’s decision to cut interest rates also contributed to the uptick in home sales.

Read more at Yahoo Finance: US home sales accelerated in September to their fastest pace since February as mortgage rates eased