Economic Buzz: US pending home sales dip to record low in January 2026

The National Association of Realtors reported that its Pending Home Sales Index, which measures signed contracts for existing homes in U.S., fell slightly in January 2026. The index dropped 0.8% from the previous month to 70.9 ? the lowest level ever recorded. Compared to January last year, it was also down by 0.4%, surprising analysts who had expected an increase.

The index, which is based on contract activity and usually predicts home sales one to two months ahead, is set at 100 to reflect average levels seen in 2001. Regional trends showed mixed results: the Midwest and West saw small gains, while the Northeast and South experienced declines. Year-over-year data also varied, with growth in the South and West but declines in the Northeast and Midwest.

This decline breaks the positive trend seen toward the end of 2025. In November, contract signings had jumped 3.3% to reach a near three-year high, supported by lower mortgage rates that encouraged buyers. However, that momentum slowed at the start of 2026, even though housing affordability had been gradually improving.

Powered by Commodity Insights