What did pending home sales look like in July 2026?

More homes are available for potential homebuyers to choose from, as signed contracts to purchase homes were down in July, a report released today by the National Association of REALTORS® (NAR) said.

July saw a 2.3% month-over-month decrease in pending home sales over all regions tracked by the NAR, while year-over-year data saw an overall 2.2% decrease in those same regions.

“Right now, pending contracts are 30% below their pre-pandemic 2019 level, while payroll employment is 5% above,” NAR Chief Economist Lawrence Yun said. “That gap points to sizable pent-up demand that should be unleashed in the coming years as more supply reaches the market and affordability improves.”

The NAR did express optimism about the direction of the housing market, too.

“Job gains should bring more buyers into the market, especially if mortgage rates stabilize or decline, though that impact takes time to show up,” Yun said.

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?

All four regions the NAR tracks in the U.S. showed decreases in pending sales in July from the previous month, with one region also showing an increase in pending home sales compared to the same time last year.

• Pending sales in the Midwest dropped 0.7% from June but increased 1.7% from the same time last year.
• The Northeast experienced a 2% decrease in pending home sales from last month and a 0.2% decrease from last year.
• Signed contracts in the South dipped 2.2% from the previous month and dropped 3% from July 2025.
• The West saw a decrease in pending home sales from the previous month at 4.7% and a 7.1% drop from a year ago.

While there has been an overall decrease in pending home sales, some local metro markets have seen noticeable gains in pending home sales.

Mortgage interest rates earlier this year hit a three-year low, then hit a one-month low in June and have been on a slow rise since. 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 6.67% as of Aug. 13*. That’s a drop from 6.69% one week ago but up a bit from 6.58% one year ago.

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 Aug. 13, 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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