Pending home sales fell 5.2% in March to a level of 78.9 on the National Association of Realtors’ Pending Home Sales Index. It’s the first decline in contract signings since November 2022.
An index level of 100 is equal to the level of contract activity in 2001, according to NAR. Compared with March 2022, pending home sales were down 23.2%.
“The lack of housing inventory is a major constraint to rising sales,” NAR Chief Economist Lawrence Yun said in a statement. “Multiple offers are still occurring on about a third of all listings, and 28% of homes are selling above list price. Limited housing supply is simply not meeting demand nationally.”
Regionally, month-over-month pending home sales fell 8.1% in the Northeast, 10.7% in the Midwest and 8.0% in the West. Pending home sales inched upward 0.2% in the South. Compared with March 2022, pending home sales fell in every region.
