Existing home sales fell nearly 20 percent in August

Rising mortgage rates and high prices led to sales of existing homes falling 19.9 percent in August, following a 0.4 percent decline in July. The median price for an existing home in the U.S. rose 7.7 percent to 389,500, down from a record $413,800 in June. "The housing sector is the most sensitive to and experiences the most immediate impacts from the Federal Reserve's interest rate policy changes," said Lawrence Yun, NAR's chief economist. "The softness in home sales reflects this year's escalating mortgage rates."