The number of homes going under contract in the U.S. unexpectedly declined in June, as high prices and mortgage rates persist.

Pending-home sales fell once again in June. According to the National Association of Realtors (NAR), pending sales transactions declined by 0.8% on a month-over-month basis in June, and by 2.8% on a year-over-year basis. Even so, NAR's Realtors Confidence Index predicts a 4% and 6% year-over-year increase in respective homebuyer and seller traffic.

The U.S. housing market showed further signs of sluggish momentum in June 2025, as contract signings for home purchases dipped for the second consecutive month, underscoring persistent affordability challenges and buyer hesitation in many parts of the country.

Contracts to buy previously owned U.S. homes dropped more than expected in June, weighed down by higher mortgage rates.

Seattle, WA, July 21, 2025-Nearly 15% (14.9%) of pending home sales fell through in June, up from 13.9% a year earlier, according to Redfin. Some buyers are backing out during the inspection period because a better home comes along, and some are nervous about making a major purchase in uncertain economic times.

Pending sales of existing homes dropped in June, dimming hopes for a summer surge in the housing market as affordability concerns continue to sideline buyers. The Pending Home Sales Index, based on signed contracts for existing homes,