U.S. pending home sales fell in February by the most since April as rising home prices and a shortage of available properties deterred buyers.
The
Surging home prices and low inventory are slowing the pandemic-era housing boom, evidenced by declines in contract signings in all four U.S. regions. In addition,
At the same time the average rate for a
“The demand for a home purchase is widespread, multiple offers are prevalent, and days-on-market are swift but contracts are not clicking due to record-low inventory,” Lawrence Yun, chief economist at the NAR, said in a statement.
By region, contract signings fell the most in the South, where winter storms curtailed business activity and led to a 13% slump in pending home sales. In the Midwest, sales declined 9.5% and in the Northeast they fell 9.2%. In the West, they decreased 7.4%
After falling to an all-time low of 2.65% in January, the 30-year fixed-rate mortgage hit 3.17% last week,