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The interest rate reuction, how will that affect the real estate market?

As of the beginning of October,  home prices are still rising, but at a much slower rate.  The demand is tepid at best, and inventories are rising.

The Fed just made a half point rate reduction in September, but for now buyers are remaining mostly on the sidelines.  It appears that the hope is that rates will continue to be reduced as the economy is slowing.

So the main question is, should buyers wait?    Most experts say that buyers should not wait for lower rates.  Another drop may cause a demand wave the causes home prices to accelerate again.

Many people are hoping for rising invetories of existing homes.  This additional inventroy could cause a reduction on the upward pressure on home prices, causing prices to stabilize.

The prevailing wisdom is that in an election year, the market is always slow, waiting to see what happends next.  since it is October, we wont have to wait too long