Buyers signed contracts to buy more homes in two regions across the nation in June compared to the same time last year, even as economic headwinds made homebuying a challenge in some regions.

It’s evidence of a trend that could continue as mortgage interest rates hover about the same range, a report released today by the National Association of REALTORS® (NAR) said.

June saw increases in pending home sales in the Northeast and Midwest from last June, while month-over-month data saw decreases in those same regions.

Home prices and mortgage interest rates are partly to blame for the slowdown, though the NAR remained optimistic that these issues could be temporary as employment remains strong.

“The highest mortgage rates in nearly a year and the record-high national median home price together are contributing to a tepid housing market that is especially difficult for first-time homebuyers,” NAR Chief Economist Lawrence Yun said. “However, job gains can help support housing demand.”

Pending home sales are indicators of the direction of the housing market in general based on purchase contracts signed for homes for sale.

Which regions showed changes in pending home sales?

Two of four regions showed increases in pending home sales compared to the same time last year, while all four regions the NAR tracks in the U.S. showed declines in pending sales in June from the previous month.

• The Northeast experienced a 2.2% increase in pending home sales from the previous year with a 3% decrease from the previous month.
• Pending sales in the Midwest rose 0.3% from last June and dipped 8.9% from April.
• Signed contracts in the South slid a modest 0.9% from the previous year and 4.1% from the previous month.
• The West saw a slight dip in pending home sales from the previous year at 1.1% and a decline of 4.7% from April.

Despite some decreased numbers, the NAR warned that data isn’t always reflective of the entire picture in the housing market.

“It is worth emphasizing that it is closing activity, not contract signings, that generates economic impact,” Yun said. “Pending contracts are only suggestive of upcoming closed deals and do not align perfectly, due to fallout rates and contract contingencies.”

Mortgage rates earlier this year hit a three-year low, then hit a one-month low last month. However, seasoned homebuyers know that you purchase the home, not the mortgage rate, so finding the right home should be the most important factor. Homeowners can always change their mortgage rate with a refinance when rates drop further.

Did mortgage rates show any change?

According to data from Freddie Mac, the 30-year fixed rate mortgage averaged 6.49% as of July 9*. That’s down considerably from 6.72% one year ago and up slightly from 6.43% the previous week.

The cooler months of winter tend to see fewer potential buyers in the market, typically allowing those shopping at that time more negotiating power. The warmer summer months tend to see a larger number of homes on the market, giving those looking to purchase homes more to choose from.

Are you ready to start the homebuying process? Start by applying for a mortgage pre-approval and begin your journey toward your dream home with Rate! A pre-approval shows sellers and real estate agents that you’re serious and gives you an idea of how much of a mortgage you’re likely to be approved for.

*National average rates from Freddie Mac as of July 9, 2026, are not advertised rates from Rate.

Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Refinancing your mortgage may increase costs over the term of your loan. Restrictions may apply.

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