According to the National Association of REALTORS Pending Home Sales Report, pending home sales fell by 0.8% in January compared to the previous month and 0.4% year on year.
The report delivers statistics on house sales under contract to the real estate ecosystem, which includes agents, homebuyers, and sellers.
Month-over-month, pending home sales increased in the Midwest and West while falling in the Northeast and South.
Year over year, pending house sales increased in the South and West while falling in the Northeast and Midwest.
“Improving affordability conditions have yet to induce more buying activity,” stated NAR Chief Economist Dr. Lawrence Yun.
“With mortgage rates approaching 6%, an extra 5.5 million households that could not qualify for a mortgage a year ago would be eligible at today’s lower rates. Most newly qualifying households do not act right away, but based on past experience, about 10% could enter the market this year, potentially adding approximately 550,000 new homeowners over the previous year.”
“Unless housing supply increases, the additional potential buyers entering the market may simply drive up home prices.”
This will put additional strain on affordability, so it is vital to improve supply by developing more homes.
Fortunately, the House of Representatives recently passed the Housing for the 21st Century Act with significant bipartisan support, sending a clear signal that addressing the nation’s housing deficit remains a shared priority.
“The legislation is a significant step toward increasing housing supply and removing barriers that make it difficult for Americans to become homeowners,” Yun added.
January 2026 National Pending Home Sales are down 0.8% month over month and 0.4% year over year.
Regional Pending Home Sales in the Northeast in January 2026 fell 5.7% month over month and 8.3% year over year. Midwest: 5.0% rise month over month; 3.3% drop year over year. South: 4.5% decline month over month; 4.0% increase year over year. West: 4.3% month over month and 0.3% year over year.
While nationwide pending home sales decreased slightly in January, numerous local areas experienced significant year-over-year growth. According to Realtor.com Economics data, the following ten regions saw the highest annual gains in pending house sales among the 50 largest metro areas:
- Phoenix-Mesa-Chandler, Arizona (+11.8%).
- Boston-Cambridge-Newton, MA–NH (+10.7%)
- Charlotte-Concord-Gastonia, NC-SC (up 10.7%)
- San Francisco-Oakland-Fremont, CA (up 8.9%)
- Oklahoma City, OK (up 8.7%).
- St. Louis, MO – Illinois (+8.0%)
- Virginia Beach-Chesapeake-Norfolk, VA-NC (up 7.6%)
- San Diego, Chula Vista, and Carlsbad, CA (+7.5%)
- San Antonio/New Braunfels, Texas (+7.4)
- Miami-Fort Lauderdale-West Palm Beach, Florida (+6.8%)
[Read more about this topic on NAR.realtor]