US Pending Home Sales Unexpectedly Fall
2026-08-18 14:08
By
Luisa Carvalho
1 min. read
US pending home sales fell by 2.3% month-over-month in July 2026, following a downwardly revised 4.8% decline in June and against market forecasts of a 0.3% rise.
This marked the second consecutive monthly decrease, with contract signings falling across all four major regions: the West (-4.7%), the South (-2.2%), the Northeast (-2%) and the Midwest (-0.7%).
Compared with a year earlier, pending home sales dropped by 2.2%, as declines across the West (-7.1%), the South (-3%) and the Northeast (-0.2%) offset stronger activity in the Midwest (1.7%).
NAR Chief Economist Lawrence Yun said elevated mortgage rates and record home prices continue to weigh on housing demand, reducing contract signings and keeping homes on the market longer.
While stronger employment could help bring buyers back if mortgage rates ease, the adjustment is likely to be gradual.
He noted that pending contracts remain 30% below pre-pandemic 2019 levels while payroll employment is 5% above.