New data reveals a bleak picture for the US housing market in September, with sales, construction, and sentiment all declining more than anticipated. Pending home sales, reflecting signed contracts, dropped 7.3% month-over-month and 11.3% year-over-year, largely due to a sharp rise in 30-year fixed mortgage rates from around 6.8% to 7.6% by month-end. Single-family housing starts fell 4.56% to an annualized 859,000, the lowest since September 2025, while building permits decreased 4%. Additionally, homebuilder sentiment in October hit its lowest level in 14 years, with current sales, future sales expectations, and buyer traffic all declining.