Pending US Home Sales Show Weakest Year-Over-Year Gain in Four Months

Pending US home sales rose just 0.7% year-over-year during the four weeks ending November 2, marking the smallest increase in four months, Redfin reported.

Existing homes are taking longer to sell, with the typical property that sold in October going under contract in 48 days—the slowest pace for that month since 2019.

Sales remain subdued despite easing borrowing costs. The average mortgage rate declined to 6.17%, the lowest level in a year, reducing the median monthly housing payment to $2,508, down 2.1% from a year earlier.

Redfin said buyers are hesitant even with lower rates as prices record their largest gain in six months and economic uncertainty tempers confidence. Rates have begun to edge higher again after the Federal Reserve signaled that a December rate cut is unlikely.