Buyers signed contracts to buy more homes across the nation in May compared to April, and decided to buy more as compared to the same time a year earlier, too.

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

May saw a 3.8% month-over-month increase in pending home sales over all regions tracked by the NAR, while year-over-year data saw an overall 4.8% increase in those same regions.

“A late spring buyer rush ... is an indication of pent-up housing demand and consumers’ acceptance of above-6% mortgage rates as the new normal,” NAR Chief Economist Lawrence Yun said. “The inventory-constrained Northeast region, which has seen faster home price growth but slower home sales for several months, is now showing more buyer contract signings.”

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 increases in pending sales in May from the previous month, with all four regions also showing increases in pending home sales compared to the same time last year.

• The Northeast experienced an 8.7% increase in pending home sales from the previous month and a 6.1% increase from last year.
• Pending sales in the Midwest rose 8.1% from April and increased 9.3% from the same time last year.
• Signed contracts in the South increased 1% from the previous month and increased 3.3% from April 2025.
• The West saw an increase in pending home sales from the previous month at 0.7% and a 1.2% increase from a year ago.

“Going forward, falling oil prices will help lower mortgage rates,” Yun said.

Mortgage rates earlier this year hit a three-year low, then hit a one-month low earlier this week. 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 should rates drop further.

Did mortgage rates show any change?

According to data from Freddie Mac, the 30-year fixed rate mortgage averaged 6.52% as of June 11*. That’s up slightly from 6.48% one week ago but down considerably from 6.84% 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 a home 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 June 11, 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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