Pending Home Sales declined 9.3% from November to December after rising in each of the prior four months, according to the National Association of REALTORS® (NAR). Signed contracts on existing homes were also down 3% from a year earlier.
What’s the bottom line?
NAR Chief Economist Lawrence Yun said December data can be difficult to interpret because holidays, time off and winter weather often disrupt normal home-search activity. He noted they’ll be monitoring upcoming reports to determine whether the decline reflects a one-off seasonal dip or the start of a broader slowdown.
Yun also pointed to tight supply as a key factor. While closings rose in December, new listings failed to keep up, pushing inventory lower. With just 1.18 million homes on the market last month – matching the lowest level of 2025 – limited choices may have discouraged buyers from signing contracts.