Look, what we're seeing as we head into the fall is really a mixed picture out there across the country. Buyers are getting some real advantages right now with more homes available and prices coming down, but at the same time, fewer people are deciding to put their homes on the market. There's also this new rate hike from the Federal Reserve that's adding some uncertainty to the equation. According to Realtor.com Research, if mortgage rates climb any higher because of this move, it could put the brakes on the momentum we've been building on the buyer side.
The inventory situation is actually looking pretty solid for shoppers. According to Realtor.com, the number of homes for sale climbed five percent compared to a year ago, which is the strongest weekly growth we've seen since late August. The total active inventory is sitting around one point one five million homes, keeping us near the highest levels since late 2019. Even though fewer homes are being listed this week, the fact that inventory is sticking around means homes are accumulating on the market as we get into the slower selling season.
Here's something encouraging for folks who've been waiting for their moment to buy. Homes are moving faster than they were a year ago, with the typical listing sitting on the market for sixty days. That's a full day quicker than the same time last year. After spending much of early this year moving slower than the prior year, we're now seeing buyer demand firm up enough to move inventory at a better pace.
The seller side of things is getting tougher. According to Realtor.com, new listings fell two and a half percent year-over-year, which is the biggest drop since the winter. This is a sharp turnaround from the positive momentum we saw at the end of August. The reason is pretty straightforward: homeowners who locked in lower mortgage rates have even less reason to sell and give up those rates in the current environment, especially with the Fed tightening now.
On pricing, the median listing price came in slightly below what we saw a year ago. According to Realtor.com, listing prices have now declined on a year-over-year basis for thirty-five straight weeks. While price reductions are holding about even with last year as a percentage, the actual count of homes with reduced prices did edge up a bit. When you look at price per square foot, we're hovering near the lowest levels since early in the year.
What I am seeing locally in the Bay Area is that this shift creates a genuine window for buyers right now. In Fremont and across the East Bay, the combination of more inventory, lower prices, and faster selling pace means less competition and better negotiating room than we had in the spring. However, I'm paying close attention to what happens with mortgage rates, because one more meaningful jump could change the equation quickly and give back some of this advantage we've built for buyers.
