U.S. December Pending Home Sales Fall

 January 21, 2026

U.S. pending home sales fell 9.3% in December as limited inventory and seasonal factors slowed contracts. Buyer and seller traffic expectations improved for early 2026.

WASHINGTON — Pending home sales in December decreased by 9.3% from the prior month and 3.0% year over year, according to the National Association of Realtors® Pending Home Sales Report. The report provides the real estate ecosystem – including agents and homebuyers and sellers – with data on the level of home sales under contract.

Month-over-month pending home sales declined in all four regions. Year-over-year pending home sales rose in the South and declined in the Northeast, Midwest and West.

“The housing sector is not out of the woods yet,” said NAR Chief Economist Lawrence Yun. “After several months of encouraging signs in pending contracts and closed sales, the December new contract figures have dampened the short-term outlook.”

“Even after accounting for typical seasonal patterns, interpreting in-person home search activity in the winter – especially in December – can be tricky due to public holidays, people taking time off, and wintry weather conditions,” Yun added. “We’ll be watching the data in the coming months to determine whether the soft contract signings were a one-month aberration or the start of an underlying trend.”

“Data shows closing activity increased in December. However, new listings did not keep pace so inventory decreased. Consumers prefer seeing abundant inventory before making the major decision of purchasing a home. So, the decline in pending home sales could be a result of dampened consumer enthusiasm about buying a home when there are so few options listed for sale. In December there were only 1.18 million homes on the market – matching the lowest inventory level of 2025.”

December 2025 national pending home sales

• 9.3% decrease month over month
• 3.0% decrease year over year

December 2025 regional pending home sales

Northeast

• 11.0% decrease month over month
• 3.6% decrease year over year

Midwest

• 14.9% decrease month over month
• 9.8% decrease year over year

South

• 4.0% decrease month over month
• 2.0% increase year over year

West

• 13.3% decrease month over month
• 5.1% decrease year over year

While national pending home sales dipped in December, several local markets are showing notable year-over-year gains. Among the 50 largest metro areas, the following 10 markets posted the biggest annual increases in pending home sales, according to data from Realtor.com Economics:

• Louisville/Jefferson County, KY-IN (+23.8%)
• San Antonio–New Braunfels, TX (+13.6%)
• Virginia Beach–Chesapeake–Norfolk, VA-NC (+11.0%)
• Charlotte–Concord–Gastonia, NC-SC (+9.7%)
• Boston–Cambridge–Newton, MA-NH (+9.2%)
• Phoenix–Mesa–Chandler, AZ (+8.7%)
• Oklahoma City, OK (+8.0%)
• Miami–Fort Lauderdale–West Palm Beach, FL (+6.3%)
• Pittsburgh, PA (+5.8%)
• Memphis, TN-MS-AR (+4.7%)

December 2025 Realtors® Confidence Index Survey

The Realtors Confidence Index (RCI) survey gathers information from Realtors about local market conditions based on their client interactions and the characteristics of their most recent sales for the month. The RCI is reflective of closed sales activity for December. Findings from the latest RCI report include:

• 39 days: Median time on market for properties, up from 36 days last month and 35 days in December 2024.
• 29% of sales were first-time homebuyers, down from 30% last month and 31% in December 2024.
• 28% of transactions were cash sales, up from 27% a month ago and unchanged from December 2024.
• 18% of transactions were individual investors or second-home buyers, unchanged from last month and up from 16% in December 2024.
• 2% of sales were distressed sales (foreclosures and short sales), unchanged from a month ago and December 2024.
• 31% of NAR members expect an increase in buyer traffic over the next three months, up from 22% last month and 27% one year ago.
• 28% expect an increase in seller traffic, up from 18% last month and 27% one year ago.

© 2026 National Association of Realtors® (NAR)

U.S. December Existing Home Sales Increase 5.1%

 Late-year sales activity showed renewed momentum nationwide as mortgage rates eased and price growth slowed, according to the National Association of Realtors.

WASHINGTON — Existing-home sales increased by 5.1% in December, according to the National Association of Realtors® Existing-Home Sales Report. The Report provides the real estate ecosystem – including agents and homebuyers and sellers – with data on the level of home sales, price, and inventory.

Month-over-month sales increased in all regions. Year-over-year sales increased in the South, remained flat in the Midwest and West, and decreased in the Northeast.

"2025 was another tough year for homebuyers, marked by record-high home prices and historically low home sales,” said NAR Chief Economist Lawrence Yun. "However, in the fourth quarter, conditions began improving, with lower mortgage rates and slower home price growth. December home sales, after adjusting for seasonal factors, were the strongest in nearly three years. The gains were broad-based, with all four major regions improving from the prior month."

"Inventory levels remain tight,” Yun added. "With fewer sellers feeling eager to move, homeowners are taking their time deciding when to list or delist their homes. Similar to past years, more inventory is expected to come to market beginning in February."

National snapshot

Total existing-home sales for December

• 5.1% increase in existing-home sales month over month to a seasonally adjusted annual rate of 4.35 million.
• 1.4% increase in sales year over year.

Inventory in December

• 1.18 million units: Total housing inventory2, down 18.1% from November and up 3.5% from December 2024 (1.14 million).
• 3.3-month supply of unsold inventory, down from 4.2 months in November and up from 3.2 months in December 2024.

Median sales price in December

• $405,400: Median existing-home price for all housing types, up 0.4% from one year ago ($403,700) – the 30th consecutive month of year-over-year price increases.

Single-family and condo/co-op sales

Single-family homes in December

• 5.1% increase in sales month over month to a seasonally adjusted annual rate of 3.95 million, up 1.8% from December 2024.
• $409,500: Median home price in December, up 0.2% from last year.

Condominiums and co-ops in December

• 5.3% increase in sales month over month to a seasonally adjusted annual rate of 400,000, down 2.4% from last year.
• $364,400: Median price, up 1.5% from December 2024.

Regional snapshot for existing-home sales in December

Northeast

• 2.0% increase in sales month over month to an annual rate of 520,000, down 1.9% year over year.
• $496,700: Median price, up 3.7% from December 2024.

Midwest

• 2.0% decrease in sales month over month to an annual rate of 1 million, unchanged year over year.
• $306,000: Median price, up 3.1% from December 2024.

South

• 6.9% increase in sales month over month to an annual rate of 2.02 million, up 3.6% year over year.
• $360,200: Median price, down 0.3% from December 2024.

West

• 6.6% increase in sales month over month for an annual rate of 810,000, unchanged year over year.
• $605,600: Median price, down 1.4% from December 2024.

Mortgage rates

• 6.19%: The average 30-year fixed-rate mortgage in December, according to Freddie Mac, down from 6.24% in November and 6.72% one year ago.

© 2026 National Association of Realtors® (NAR)

Mortgage Rate Lock-in effect easing

 Mortgages with rates above 6% now exceed the share below 3%, marking a post-pandemic shift as higher borrowing costs reshape homeowner behavior.

AUSTIN, Texas — The share of U.S. homeowners carrying mortgage rates above 6% has officially surpassed the share holding ultra-low rates below 3%, signaling a meaningful shift in the housing market after years of historically low borrowing costs, according to new Realtor.com analysis of outstanding mortgage data.

In the third quarter of 2025, 21.2% of outstanding mortgages carried interest rates of 6% or higher, edging past the 20.0% share with rates below 3%. While mortgage rates have eased from their 2025 peak of 7.04% in January and settled into the low-6% range by year's end, they have remained above 6% since September 2022—continuing to influence homeowner behavior, market mobility, and housing supply.

"Mortgage rates above 6% now represent a larger share of outstanding loans than the ultra-low rates that defined the pandemic-era housing boom," said Danielle Hale, chief economist at Realtor.com®. "This crossover reflects a gradual resetting as some households trade in low-rate mortgages for higher-rate loans or enter the market for the first time, even as rate lock-in continues to limit the pace of inventory recovery."

Low-rate mortgages remain a powerful force

More than half (51.5%) of outstanding mortgages still have rates at or below 4%, and nearly 69% carry rates of 5% or lower. This concentration helps explain why many homeowners remain hesitant to sell: The typical homeowner would see their monthly mortgage payment rise by nearly $1,000 if they sold and bought a median-priced home in today's high-price, high-rate environment.

Ultra-low mortgage rates were an anomaly in modern housing history. The 30-year fixed mortgage rate fell below 3% in July 2020 and largely stayed there through September 2021 – the only period since data collection began in 1971 when rates dipped below that threshold. Those extraordinary conditions left a lasting imprint on today's housing market.

Despite this, the share of mortgages with rates above 6% has increased more than 4 percentage points from the third quarter of 2024 to the third quarter of 2025, reflecting continued buyer activity even in a higher-rate environment. Life events such as marriage, divorce, or growing families continue to drive homebuying, while some buyers who had delayed moves may be acting as rates softened modestly from recent highs.

Housing supply improvements push towards balanced market

Housing supply has improved over the past year, pushing the national market into more balanced territory and some local markets into buyer's market conditions. However, inventory remains constrained, particularly in more affordable areas where homes continue to sell quickly amid strong competition.

"Even with rates still elevated, modest mortgage rate decreases into the low-6% range could encourage additional homebuying activity," Hale added. "Further easing in inflation and mortgage rates would be key to unlocking more seller participation, helping to relieve price pressure and competition in an under-supplied market."

Lock-in effect, still in effect, but beginning to ease

While roughly 80% of outstanding mortgages still carry rates under 6%, underscoring the persistence of rate lock-in, the fact that mortgages above 6% now outnumber those below 3% marks an important inflection point – one that suggests a slowly loosening grip of the ultra-low-rate era on today's housing market.

Methodology

Realtor.com analysis of FHFA Outstanding Residential Mortgage statistics.

Source: Realtor.com

© 2026 Florida Realtors®

Florida Cities Lead 2025 U.S. Migration Rankings

 By Amy Connolly

Florida dominated the U-Haul Growth Index, with 8 cities in the top 10 and Ocala ranked No. 1 again. The state also placed second nationally for inbound moves.

ORLANDO, Fla. — Florida continues to attract new residents at a strong clip, according to the newly released 2025 U-Haul Growth Index, which tracks migration patterns based on one-way moving transactions.

The Sunshine State is home to eight of the top 10 growth cities and 12 of the top 25 for the past year. At the top of the list is Ocala, which retains its title as the No. 1 U.S. growth city, a distinction it also held in 2024 and 2022.

Other Florida cities featuring prominently on the list include:

• North Port — second-highest growth city in the U.S.
• Kissimmee — fourth in the rankings.
• Clermont — fifth, jumping substantially from prior years.

Fort Lauderdale, St. Augustine, Daytona Beach, Panama City, North Fort Myers, Leesburg, Sarasota and St. Cloud also made the top 25.

The index also highlights Florida metros in the top 25 U.S. growth metros based on net inbound U-Haul traffic, signaling broader regional appeal: Lakeland, Palm Bay, Jacksonville, Port St. Lucie and Miami all ranked among the nation’s most popular metro destinations for movers.

Overall, Florida was the No. 2 state for inbound moves, second only to Texas in the nationwide ranking.

Industry analysts use the U-Haul Growth Index as one of several indicators of population shifts, especially in fast-growing Sun Belt states. The strong showing of Florida communities on the 2025 list suggests that trends toward relocation for climate, lifestyle and economic reasons remain robust.

Source: U-Haul

© 2026 Florida Realtors®