US Pending Home Sales Miss Expectations

US pending home sales rose 0.3% month over month in August 2026, rebounding from a revised 2.6% decline in July but falling short of market expectations for a 2.0% increase. Sales increased in the South (2.3%) and West (3.0%), partly offsetting declines in the Northeast (-4.2%) and Midwest (-1.6%). On an annual basis, pending home sales fell 4.7%, with all four major US regions recording declines. “Buyers steadily entered into contracts in August even though mortgage rates increased,” said NAR Chief Economist Lawrence Yun. However, he noted that the housing market remains sluggish, with contract signings below last year’s levels as higher mortgage rates offset gains in purchasing power from job and income growth. Yun added that national contract signings are roughly 30% below pre-pandemic levels. Activity peaked in 2021, when mortgage rates fell to near 3%, a historic low, and has not returned to those levels since.

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.

US pending home sales fell 5.4% month-over-month in June 2026, ending a four-month streak of gains and marking the sharpest decline since December 2025. The drop was far steeper than market expectations for a 0.5% decline, with contract signings falling across all four major regions: the Northeast (-3.0%), Midwest (-8.9%), South (-4.1%), and West (-4.7%). Compared with a year earlier, pending home sales slipped 0.3%, reflecting weakness in the South and West. According to NAR Chief Economist Lawrence Yun, the combination of the highest mortgage rates in nearly a year and record-high home prices continues to weigh on affordability, particularly for first-time buyers, although a strong labor market should help support housing demand. The NAR also noted that pending sales reflect signed contracts rather than completed transactions, meaning they are only an indication of future home sales.