Rising mortgage rates weigh on pending home sales in August
Homebuyers in every corner of the country retreated from the market heading into the fall as rising mortgage rates drained their purchasing power., down from the 0.9% monthly increase recorded in July. The result was far worse than the 1.0% decline that Bloomberg economists had estimated and was widespread. Every region recorded a monthly and year-over-year drop.
Contract signings in the Northeast declined 0.9% from the last month and were down 18.2% from August 2022 levels. Pending sales also dropped 7.0% in the Midwest and fell 19.1% from a year ago.
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