NAR: Pending Sales Up, But Supply Crunch Threatens Affordability

Pending home sales rose in April, but National Association of Realtors Chief Economist Dr. Lawrence Yun warned the gains could be undermined by a deepening supply shortage.

TAKE THE INMAN INTEL INDEX SURVEY

Signed contracts on existing homes increased 1.4 percent month-over-month and 3.2 percent year-over-year in April, according to the National Association of Realtors’ (NAR) Pending Home Sales report released Tuesday.

“Unless supply meaningfully increases, home price growth could outpace wage growth and further erode the homeownership rate,” Yun said. “All efforts need to be focused on boosting housing supply.”

Yun noted that historically low foreclosure sales have limited discounted inventory, with a majority of markets selling above last year’s prices.

Buyers are still moving despite headwinds. “Buyers are coming out with cautious optimism despite increasing economic uncertainty and a slight rise in mortgage rates,” Yun said, adding that demand would climb further once rates retreated to earlier 2026 levels.

Regional breakdown

Month-over-month gains were posted in the Northeast (up 6.6 percent), Midwest (up 3.0 percent) and West (up 0.4 percent). The South was the only region to decline month-over-month, falling 0.7 percent — despite posting the largest year-over-year gain of any region at 4.7 percent. Year-over-year, the Northeast was the only region in the red, down 0.6 percent.

Top markets

Among the 50 largest metro areas, Boston-Cambridge-Newton led year-over-year pending sales gains at 10.3 percent, followed by Miami-Fort Lauderdale-West Palm Beach at 9.4 percent and Oklahoma City at 8.6 percent, according to Realtor.com Economics data included in the report. 

Email Jessi Healey