\nU.S. pending home sales fell 5.8% from a year earlier during the four weeks ending December 14, the biggest decline since the start of 2025. That\u2019s according to a new report<\/a> from Redfin<\/a>, the real estate brokerage powered by Rocket.\n<\/p>\n
\nOn a metro level, pending sales declined in all but six of the 50 most populous U.S. metro areas, with the biggest drops in San Jose, CA (-35.1% year over year), Houston (-20.9%), and Oakland, CA (-17.6%).\n<\/p>\n
\nThe typical U.S. home that does sell is taking 52 days to go under contract, about a week longer than last year.\n<\/p>\n
\nHouse hunters are hesitant this holiday season because mortgage rates are stubbornly sitting above 6%, and home-sale prices are rising, putting homes out of reach for many would-be buyers. Additionally, many prospective buyers are waiting for clearer signals on the economy before they make a major purchase; some are concerned about job security<\/a> amid signals of weakness<\/a> in the labor market. Another reason pending sales are declining year over year: Sales increased<\/i> around this time last year after the uncertainty leading up to the 2024 presidential election had passed.\n<\/p>\n \nSlow homebuying demand is pushing would-be sellers to the sidelines, too. New listings are down 3.1% year over year, the biggest decline in more than two years. The total <\/i>number of homes for sale is up just 4.2%, the smallest increase since the start of 2024. Many prospective sellers are reluctant to list their home while the market is tilting toward buyers<\/a>, with some waiting until the new year to see if demand improves.\n<\/p>\n \n\u201cMortgage rates are buyers\u2019 biggest concern. They want to make sure they\u2019re not paying too much every month,\u201d said Tracy Edwards<\/a>, a Redfin Premier agent in Raleigh, NC. \u201cMy advice to sellers is to carefully consider the buyer\u2019s perspective: If a buyer is taking on a high monthly payment, they want the house to be near perfect and the sale price to be fair. Be open to negotiations around repairs and seller concessions, and be realistic about the asking price. It\u2019s better to sell a home quickly than let it linger on the market.\u201d\n<\/p>\n Please note that the next weekly housing market report will be published on Thursday, January 8, 2026; there won\u2019t be reports on Thursday, December 25 or Thursday, January 1. Please visit <\/i>Redfin\u2019s Data Center<\/i><\/a> for housing market data. Happy holidays!<\/i><\/p>\n \nFor Redfin economists\u2019 takes on the housing market, please visit Redfin\u2019s \u201cFrom Our Economists<\/a>\u201d page.\n<\/p>\n Leading indicators<\/b><\/p>\n