The average rate for a 30-year fixed-rate loan averaged 7.19 per cent in the week ending September 21, just a shade higher than last week's 7.18 per cent, according to Freddie Mac.

The Fed's decision to leave interest rates unchanged was based on a number of economic indicators, including softening core inflation (excluding the volatile food and energy categories) and a strong job market. However, it remains to be seen whether the Fed's decision will breathe life into the ailing housing market, despite the temporary reprieve of sorts it has given.

However, the future looks positive.

Sabrina Speianu, Data Scientist at Realtor.com®, said in her analysis, "Looking ahead, if incoming data continues to meet market expectations, this will set a good tone for stability in the housing market." This in turn provides a favourable environment for buyers and sellers to develop more effective long-term plans.

We will explain in our latest edition of "How's the Housing Market This Week?" explaining what the latest Fed news and real estate statistics mean for home buyers and sellers.

High mortgage rates have kept the supply of housing scarce for homebuyers.

The recent rise in mortgage rates continues to make many existing homeowners feel somewhat 'locked in' and hinders their willingness to sell their homes, explains Spianu.

For the week ending 16 September, new listings have declined for 63 consecutive weeks, down 6.0% compared to a year ago. Overall inventory has also declined, down 4.4 per cent year-over-year.

Home prices remain stubbornly high as the supply of housing inventory is squeezed.

List prices continued to be supported by low existing-home inventory into the autumn, as higher mortgage rates led to a continued tightening of existing-home inventory, Speianu said.

Until more homes come on the market, home prices appear to be largely unchanged, with the median hovering at $435,000 in August. For the week ending 16 September, the median listing price was up 0.2% over the same week last year. This trend of stabilising or increasing prices has continued for nine consecutive weeks and prices are not expected to rise or fall significantly in the near future.

So, while the median price did not reach last year's record high of $449,000, we may be slightly ahead of last year's numbers throughout the autumn and winter months.

On the horizon of housing scarcity, there is a small light of hope for homeownership.

"With the inventory of existing homes still tight, newly constructed homes are an attractive option for potential buyers," Speianu said.

Not only do these homes offer an alternative to existing homes, but many homebuilders also offer mortgages at lower rates than traditional lenders.

Despite affordability hurdles and a lack of listings, buyers are still making offers.

In the week ending 16 September, an average home stayed on the market for the same amount of time as a year ago. This is a significant milestone in 59 weeks, as homes have been taking longer to sell over the past year or so.

As the housing market continues to recover from the slowdown experienced in 2022, it is highly likely that homes will begin to sell more quickly in the coming weeks than they did a year ago, even though demand may not be as high.

Homebuyers looking to close a deal during the peak fall home-buying season should take note that the Realtor.com Economy Team has designated October 1-7 as the best prime week to buy a home this year. During this prime week, homebuyers can expect to save more than $15,000 on the median home price and have a whopping 18.9 per cent more new listings to choose from than they did at the beginning of the year.