by NAR analysis also shows a 1.5% increase since February, highlighting the importance of sales activity in the spring months
WASHINGTON — The National Association of Realtors recently reported that pending home sales declined 1.1% since March 2025 and rose by 1.5% from February.
Reflecting the amount of home sales under contract, the report showed that year-over-year pending home sales rose in the South and declined in the Northeast, Midwest and West. Month-over-month activity rose in the Northeast and South and fell in the Midwest and West.
For retailers, the report offers an indication of how different markets fared and what to expect in the next month or two for actual home sales activity once the sales close.
“Contract signings rose in March despite higher mortgage rates, pointing to pent-up housing demand,” said NAR Chief Economist Lawrence Yun. “A greater supply of inventory will help translate that demand into more home sales.”
He added that sensitivity to mortgage rate levels is higher among younger first-time buyers.
“As a result, boosting supply and new-home construction should focus on smaller, more affordable homes,” he said, adding, “A good number of markets in the South experienced price cuts over the past year but recorded the strongest job growth. That combination should lead to stronger housing market activity in the South this year.”
By region the activity was as follows:
+ The Northeast experienced a 6.5% decrease year over year and a 4.4% increase month over month.
+ The Midwest experienced a 3.1% decrease from March 2025 and a 1.3% decrease from February.
+ The South experienced a 2.3% increase from March 2025 and a 3.9% increase from February.
+ The West experienced a 1.7% decrease from March 2025 and a 2.6% decrease from February.
The report also showed that the following 10 markets posted the highest year-over-year increase in pending home sales.
- Kansas City, MO-KS (+14.9%)
- Milwaukee–Waukesha, WI (+13.5%)
- Austin–Round Rock–San Marcos, TX (+12.8%)
- Phoenix–Mesa–Chandler, AZ (+12.1%)
- Raleigh–Cary, NC (+10.0%)
- Portland–Vancouver–Hillsboro, OR-WA (+9.7%)
- Richmond, VA (+8.5%)
- Virginia Beach–Chesapeake–Norfolk, VA-NC (+8.5%)
- Dallas–Fort Worth–Arlington, TX (+8.1%)
- Washington–Arlington–Alexandria, DC-VA-MD-WV (+8.0%)
