Sales of pending housing in the United States were reduced to a historical minimum in January High mortgage rates, record prices of housingAnd possibly the terrible climate last month hindered those who were looking to buy.
The National Association of Real Estate Agents said Thursday that its pending housing sales index, which is an indicator of housing sales based on contract signatures, decreased 4.6% to 70.6 last month. Pending transactions fell 5.2% since the previous year.
There were decreases in the month in the west, south and west medium, with the most significant fall in the south. Despite the sections of strong winds and low temperatures, sales in the northeast increased modestly.
“It is not clear if the coldest January in 25 years contributed less buyers in the market and, if so, wait for a greater sales activity in the coming months,” said the chief economist of Nar Lawrence Yun in a statement. “However, it is evident that high prices of homes and higher mortgage rates tense affordability.”
Mortgage rates in January were between 6.91% and 7.04%.
On Friday, Nar said that sales of American houses previously occupied slippery 4.9% last month from December to a seasonally adjusted annual rate of 4.08 million units.
Sales increased 2% compared to January last year, marking the fourth consecutive annual increase. According to FACTSET, the latest housing sales did not reach 4.11 million economists of rhythm, according to FACTSET.
Housing prices increased annually during 19 consecutive months. The national average sale price increased 4.8% in January from a year prior to $ 396,900.
The United States real estate market has been in a sales fall that dates back to 2022, when mortgage rates began to rise from the pandemic era. The sales of US housing previously occupied fell last year to their Lower level in almost 30 years.
The shares of housing builders that are quoted in the stock market have been punished this year and those prices fell on Thursday. Tariffs threatened by President Donald Trump have led to the increase in restlessness in the sector due to the possibility of higher prices of wood and metals. And mass deportations under the Trump administration could also increase costs for builders.
The Builder Toller Brothers has dropped 11% this year. Dr. Horton and Lennar have dropped between 7% and 9%. Beazer Homes has dropped almost 17% in 2025.
