Economics

U.S. Pending Homes Sales Decline on Rising Rates, High Prices

  • March contract signings fall 1.2%, index lowest since May 2020
  • Home purchases fell in all regions except the Northeast
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A gauge of U.S. pending home sales fell in March for a fifth straight month as rising borrowing costs put pressure on a market already squeezed by low inventory and high prices.

The National Association of Realtors’ index of pending home sales decreased 1.2% from a month earlier to 103.7, the lowest since May 2020, according to data released Wednesday. Economists in a Bloomberg survey called for a 1% drop.