Summary
The spring homebuying season in the U.S. is not starting as expected due to rising economic concerns linked to the conflict in Iran. High borrowing costs and increasing home prices are keeping many buyers from purchasing homes. Pending home sales have seen a slight month-over-month increase but are down compared to the previous year.
Key Facts
- The spring homebuying season in the U.S. is delayed.
- High borrowing costs and rising home prices are affecting the market.
- U.S. and Israel launched strikes on Iran on February 28, increasing economic concerns.
- February home sales nationwide were down 4% from the previous year.
- Pending home sales rose 1.8% from January to February but are down 0.8% year-over-year.
- The Midwest saw the highest increase in pending sales at 4.6% in February.
- The Northeast faced a decline in pending sales by 3.6% due to fewer homes for sale.
- Mortgage rates dipped below 6% last month but have risen since the conflict started.
