Pending home sales dip in July — Midwest fares best

Pending home sales fell 2.3% in July from the previous month and declined 2.2% year-over-year, reaching their lowest level since January 2026, according to the National Association of Realtors (NAR). Contract signings declined month-over-month in all four major U.S. regions. On an annual basis, the Midwest was the only region to post an increase, while the Northeast, South and West all recorded declines. “The highest mortgage rates of the year hit right in the middle of summer, and that’s pulling back contract signings,” said NAR Chief Economist Dr. Lawrence Yun. “Home prices are at record highs so houses for sale are sitting on the market longer, and fewer buyers are bidding above the asking price than a year ago, though there are large local market variations.” The Northeast saw pending sales fall 2% from June and 0.2% from a year earlier. Sales in the Midwest declined 0.7% month-over-month but rose 1.7% annually. The South posted a 2.2% monthly decline and a 3% annual decrease, while the West recorded the sharpest drop, falling 4.7% from June and 7.1% from July 2025. Despite broader slowdown, several major metros posted notable annual gains in pending home sales. Virginia Beach-...