US Pending Home Sales Plunge 7.3% in September to Record Low

U.S. pending home sales dropped to an all-time record low in September as surging mortgage rates severely curtailed buyer affordability. The National Association of Realtors reported that the Pending Home Sales Index fell 7.3% month-over-month to 66.0, down from 71.2 previously and hitting its lowest level since tracking began in 2001. The decline significantly exceeded consensus forecasts of a 0.5% to 0.6% drop and followed a 0.3% increase in the prior month. Year-over-year, pending transactions fell 12.6% as average 30-year fixed mortgage rates climbed above 7%, causing broad-based regional declines in contract signings.