Surprise! – New home sales jumped in August

Some announcements

1. Welcome to our new readers! Over the past two weeks, we’ve seen a surge of new subscribers, so I want to do a little level-setting.

David and I have been writing The Blueprint since November 2021. We both work in luxury real estate, but this newsletter is for every agent, especially those just starting out.

When we got into the business, we wished we’d had someone showing us the ropes: sharing what works, pointing us toward the best resources, giving us tips and takes, and helping us figure out how to be better agents. We try to do that for you. It’s a tough business, but we love it, and we hope we can help you thrive too.

And whether you’ve been reading for two weeks or two years, drop us a line and tell us what you think and what you’d like to see more of. We love hearing from you.

2. Breezy + Inman: Recently, Breezy —- the AI company I co-founded to help agents manage their business —- teamed up with Inman. Breezy can now reference current Inman coverage alongside its internal real estate data, giving you both the numbers and the context behind them.

Try Breezy free for 30 days with code BLUEPRINT30. 

3. 97 Days:  That’s the number of days left in 2026. A lot of agents mentally check out now. Don’t make that mistake. The conversations you have now with potential buyers and sellers will set you up for success in 2027. Drop down to today’s Foundation Plans,  where I give you some tips for finishing the year with momentum. 

Now, let’s dive into today’s Blueprint!

- James

New home sales rebound in August

In August, new home sales bounced back, climbing 6.4% from July to a seasonally adjusted annual rate of 684,000, according to Realtor.com’s latest update. 

Here’s what they report:

• Sales improved, but not enough to match last year: August's pace was 2.0% below August 2025, though an upward revision to July suggests the market may be steadying.

• Prices are falling: The median new home sold for $393,700, down 5.8% year over year and below the median for existing homes.

• The Midwest and South led the regions: Midwest sales jumped 84.9% from July and 22.5% from last year, and the South posted its best month since November. The Northeast and West fell 20.7% and 26.8% year over year. Because more of the sales came from less expensive regions, the national median price was pulled lower.

• Inventory is shrinking as builders pull back: There were 483,000 new homes for sale at the end of August, 2.0% fewer than a year ago, and months of supply dropped from 9.0 to 8.5.

• Buyers still have the upper hand: Builders are offering mortgage rate buydowns, cash at closing, and free upgrades, and they are cutting prices more often than sellers of existing homes.

My take

The most interesting number in this report isn't the sales rebound. It's that a brand-new home now costs less than a used one: the median new home sold for $393,700, below the median for existing homes. Builders can buy down mortgage rates, add upgrades, and cut prices, while homeowners with cheap mortgages from a few years ago mostly have very little reason to sell or discount much. That makes builders the most motivated sellers in housing right now. With mortgage rates surging, home builders are offering the best deals available to buyers today.

High-end brands like Bugatti are jumping into Miami’s ultra-luxe housing market 

Miami's ultra-luxury housing market is booming, and some of the world's biggest luxury brands want to capitalize. According to CNBC, Bugatti just announced plans for its first U.S. branded residential development in Miami's Brickell district, joining Porsche, Aston Martin, Bentley and Mercedes-Benz in putting its name on Miami residences. 

Here are the key trends to know:

• Sales of $10M+ homes have already surpassed last year's total. Miami-Dade recorded 194 home sales of $10 million or more in the first eight months of 2026, up 14.1% from the 170 recorded in all of 2025, according to the Miami Association of Realtors.

• A new annual record could be coming. At the current pace, Miami-Dade is on track for roughly 291 sales of $10 million or more this year, easily surpassing the pandemic-era record of 230 set in 2021.

• Cash dominates the luxury market. About 82% of Miami condo sales of $1 million or more were all-cash in 2025, the highest share of any U.S. market.

• Miami's bubble-risk rating has fallen. UBS lowered Miami's bubble risk to "elevated" this year, after ranking it the highest of any city in last year's global index. It pointed to the market's large share of cash buyers, which makes it less sensitive to high interest rates, along with continued migration from higher-tax states. UBS said a broad price correction appears unlikely in the near term.

• The broader housing market is much softer. Inflation-adjusted home prices fell 1.6% year over year as high borrowing costs and affordability pressures weighed on demand outside the luxury segment.

• Developers are betting on Miami's appeal to global wealth. The CEO of Prosper Group, which is developing Bugatti Residences Miami, called the city the "global epicenter for wealth migration."

My take

Bugatti planting its flag in Brickell is more than a branding exercise. Luxury companies go where their customers are, and right now, wealth is flowing into Miami. Sales of $10 million-plus homes are on pace to blow past the 2021 record, cash buyers are insulating the top end from high borrowing costs, and migration from higher-tax states continues to support demand. For luxury agents, the opportunity is clear: build relationships in the markets sending wealth to Miami, so you're in the conversation before those buyers start their search.

The best metros for buyers to score a deal in October

October is the best time of year for homebuyers to score a deal in 16 major U.S. metros, according to an analysis of housing market data by Home Economics and Redfin.

That’s when discounts from a home’s original asking price tend to be near their annual peak. Sellers who listed over the summer and still haven’t found a buyer may be more willing to cut their price or offer concessions, such as covering closing costs.

Here are five metros where the best time to buy falls in early or mid-October:

My take

Okay, I’ll admit it: I kind of love this report. The October list is the headline, but the real value is the full table underneath it. For nearly 50 major metros, Redfin pinpoints three different moments: when new listings peak, when fresh inventory peaks, and when the best deals show up. Here's the catch. Those moments rarely line up. In Chicago, new listings peak in mid-May but the best deals don't arrive until early October, so a buyer has to decide whether they care more about choice or price. That's a conversation agents should be ready to have. Know your market's three dates cold, ask clients which one matters most to them, and help them plan their search instead of just reacting to the market.

Schematics

The news that just missed the cut

• Ranked: The best Airbnb locations by yield

• Yes, living near a Costco does boost your home values

• What happens if you never buy a home: how renters end up behind and ahead

• How agents can help homebuyers deal with rising mortgage rates

• Vegas and Florida are the hottest destinations for relocating house hunters

Foundation Plans

Advice from James to win the day

Cotality reports that the number of canceled home-sale contracts reached a five-year high in August. Higher mortgage rates are clearly weighing on buyers, but they’re affecting sellers, too.

As we head into the fall, one of the most common objections you’re likely to hear during listing conversations is: “We want to wait.” Maybe they want to see where rates go. Maybe they think spring will bring more buyers. Maybe they simply don’t feel ready. Whatever the reason, you need a better answer than "OK, call me in the spring." 

Here’s what to do:

1. Validate then separate – Start by validating the concern. Don’t argue with your sellers, and don’t pretend you can predict where rates or the market will be six months from now. Instead, separate what they can’t control—rates, headlines, the economy—from what you can control together: pricing, repairs, staging, marketing, and readiness. Then ask a simple question: Would you rather prepare now or scramble later? And then stop talking.

2. Make it clear that preparing isn’t listing –  When sellers hear “let’s get your home ready,” many hear “we’re putting it on the market next week.” Make the distinction explicit: prepare now, launch later. The mistake isn’t waiting until spring to list. It’s waiting until spring to start preparing. That’s how repairs, staging, photos, pricing and marketing all get crammed into one stressful window.

3. Show seller-buyers why readiness wins. If your client doesn’t want to list until they find their next home, turn the situation around. Ask which offer they would accept at roughly the same price:

• Buyer A says they can get their current home listed within a week or two.

• Buyer B already has the photos done and the MLS 95% completed and can go live within a day or two.

• Buyer C is already on the market, with a contingency allowing them time to find their next home.

Most sellers are going to prefer Buyer B or C. And that tells your client exactly what kind of buyer they need to become.

4. Get the agreement signed before you spend a dollar. Consider offering something like a “Reserve Your Spring Launch” package: a pricing consultation, repair recommendations, photos and video while the property still looks its best, a complete marketing plan and a pre-launch review. Formalize the commitment with a listing agreement and delayed launch date, subject to your brokerage and MLS rules. If you’re investing your time and money months before the property hits the market, the commitment should go both ways.

A lot of agents mentally check out during the fall and holiday season as new listings and pending sales slow down. Don’t make that mistake. The conversations you have now can become the inventory you carry into 2027.

So when a seller tells you, “We want to wait,” don’t try to talk them out of waiting. Give them a plan for what to do while they wait.

If you want to dive deeper into this strategy, I highly recommend this excellent piece from Byron Lazine, which shaped a lot of my thinking here. 

Breezy

Feature of the Week — Efficiency

Breezy runs alongside real estate agents throughout the day and acts as an AI personal assistant in real time.

At a high level, Breezy does these things:

• Captures and organizes conversations so no follow-up or detail gets lost

• Generates branded comps and reports on the fly, ready for clients

• Keeps your pipeline current automatically, without manual updating

• Reveals how you can reposition and develop your property through proprietary software we call Underbuilt

Instead of agents juggling spreadsheets, notes apps, CRM updates, and presentation tools, Breezy brings those workflows together.

Try Breezy free for 30 days with code BLUEPRINT30.

Just in Case

Keep the latest industry data in your back pocket with today’s mortgage rates:

“Your time is limited, so don’t waste it living someone else’s life.” — Steve Jobs

Each day is a gift – a chance to live the life you want. Ruthlessly focus on your goals. Don’t let your past or the fear of being judged distract or paralyze you. Choose to live with an integrity that you can be proud of.

Have a wonderful weekend, and I’ll see you back here next Friday!

- James