One of the most asked questions about housing these days is about direction. Are sales and prices set to say in the swoon mode, or has more inventory and lower mortgage rates stoked the embers for a stronger finish to the year?

Normally, there are data trends that point the way, but many of them are now telling conflicting stories. For instance, price reductions are typically a good sign that sellers are getting antsy about their original listing price due to a lack of activity. August’s median list price was $319,500, down from $350,000 in July.

Almost half of the homes that sold in August (43%) were price reductions. That’s the second largest share so far this year. The average reduction was $31,878. It was also the second highest of the year.

Another softer market indicator is price concessions. Last month was a record so far this year with 60% of sales seeing an average concession of $15,332.

Since prices have not declined like some though, affordability is still a headwind. But it’s a headwind that is tempered by 36% more inventory than there was this time last year and the lowest monthly mortgage rate this year. And that’s on top of an interest rate cutting mood after the FED’s holding rates high for four years.

August’s median sales price was $270,500, down from $279,900 in July. During the same month last year, it was $259,900. Although some price drops are predicted for high-priced metro markets, the local eight-month price trend 6% better than it was last year and there are not a lot of conditions that are putting downward pressuring them.

 Median days on the market are another indicator pointing to softer conditions. It was 60 days in August, up from 50 days August last year. However, homes that are priced right are seeing contracts in less than two weeks. The longer lag in the days on market data is because it measured from the time a property goes on the market until the sales are closed.

And according to reports, the number of mortgage originators cold calling Realtors with offers to help clients are increasing.

The best description from current conditions is a stable – but bipolar – market. Maybe some of that can be blamed on the Presidential Elections and the all-to-common consumer reaction of sit tight and see how things shake out.