Pending home sales took a 1.1% dip month-over-month in October but are up 20.2% compared with October 2019, the National Association of Realtors reports.
"The housing market is still hot, but we may be starting to see rising home prices hurting affordability,” NAR Chief Economist Lawrence Yun said in a statement. Home prices have been rising throughout the year and in September had their largest leap since May 2014.
The inventory of homes for sale and mortgage rates have also reached historic lows, according to NAR.
Compared with September, pending home sales increased 0.1% in the South, but declined 0.7% in the Midwest and 5.9% in the Northeast. The West remained unchanged during the month. All regions reported higher pending home sales compared with the same period last year, however.
The full NAR report can be found here.
