Core Insights - The pending home sales in the U.S. experienced the largest decline since September 2022, indicating a sluggish spring sales season due to high prices and borrowing costs [1] - The current housing market is heavily influenced by mortgage rates, with a need for rates to decrease from around 7% to closer to 6% to attract buyers back [1] - Although more homeowners are listing their properties, many are waiting for more affordable financing options before selling [1] Summary by Category Market Performance - Pending home sales fell significantly, marking the largest drop in nearly two years, reflecting a weak performance in the spring selling season [1] - The decline in sales is attributed to potential buyers being deterred by high asking prices and borrowing costs [1] Economic Indicators - The National Association of Realtors (NAR) chief economist, Lawrence Yun, emphasized that the market is currently "completely dominated by mortgage rates" [1] - An increase in housing inventory has not translated into higher sales, indicating a disconnect between supply and demand [1] Future Outlook - The housing market is expected to remain subdued until home prices decrease from record levels and mortgage rates become more favorable [1] - Lower mortgage rates are identified as a critical factor for enticing buyers back into the market [1]