In November, the Federal Reserve reduced its benchmark rate for the third time this year. This action was widely anticipated by the market. Mortgage rates have remained steady this month and are still down more than 1 percent from last year at this time. Residential new construction activity continues to rise nationally. The U.S. Commerce Department reports that new housing permits rose 5% in October to a new 12-year high of 1.46 million units.

• Closed Sales decreased 2.6 percent for Detached homes and 16.1 percent for Attached homes.
• Pending Sales increased 16.9 percent for Detached homes and 48.5 percent for Attached homes.
• The Median Sales Price was up 4.3 percent to $725,000 for Detached homes and 7.2 percent to $453,500 for Attached homes.
• Days on Market decreased 9.5 percent for Detached homes and 11.8 percent for Attached homes.
• Supply decreased 35.5 percent for Detached homes and 21.7 percent for Attached homes.

While many economic signs are quite strong, total household debt has been rising for twenty-one consecutive quarters and is now $1.3 trillion higher than the previous peak of $12.68 trillion in 2008. While delinquency rates remain low across most debt types (including mortgages), higher consumer debt loads can limit future household spending capability and increase risk if the economy slows down.