If you've been reluctant to buy or sell a home due to dicey market conditions, things are beginning to look up for real estate consumers, according to new statistics from the National Association of REALTORS (NAR).

In its report released earlier this week, NAR reports that sales of existing homes—which includes single-family homes, townhomes, condominiums and co-ops—climbed 3.4% in October, 2.9% higher than existing-home sales in October of 2023. The headline? This marks the first year-over-year gain since July of 2021.

October's home-sales increase was relatively consistent across the country, according to the report, with improvements recorded in all four major U.S. regions.

According to NAR's Chief Economist Dr. Lawrence Yun, “The worst of the downturn in home sales could be over, with increasing inventory leading to more transactions. Additional job gains and continued economic growth appear assured, resulting in growing housing demand. However, for most first-time homebuyers, mortgage financing is critically important. While mortgage rates remain elevated, they are expected to stabilize.”

While sales increased in October, so did the median existing-home sale price, rising 4.0% above the median price a year ago. NAR reports that the median existing-home sale price this October was $407,200 compared to $391,600 in October of 2023.

Yun explains that the continued increase in existing-home sale prices translates to increased wealth for homeowners. With that in mind, it's important to talk to a real estate professional about your home's value, as you may not realize the amount of equity that has accrued. If you've been thinking about selling your home, now may be the time to maximize your return on investment.

The NAR report also highlights that conditions are improving somewhat for homebuyers, despite rising home prices. Total housing inventory registered at the end of October was 1.37 million units, up 0.7% from September and 19.1% from one year ago (1.15 million). Unsold inventory sits at a 4.2-month supply at the current sales pace. While this is down from 4.3 months in September, it has increased 3.6 months since October 2023.

“The ongoing price gains mean increasing wealth for homeowners nationwide,” said Yun. “Additional inventory and more home-building activity will help price increases moderate next year.”

Whether you're thinking of buying or selling a home, or just want to get an accurate picture of what your home is worth in the current market, be sure to talk to a local real estate professional who has expertise in your specific area. While national reports are an important barometer of the overall real estate market, conditions vary from neighborhood to neighborhood, so it's essential to get an accurate picture of what the broader trends mean for you.