What did pending home sales look like in August 2025?
Pending home sales in August increased across three of four regions in the nation, according to a report released today from the National Association of Realtors ®. It’s a signal that the market is opening to buyers able to take advantage of the warm-weather homebuying season as it comes to a close.
Across the nation, August has seen a 4% increase in pending home sales compared to last month, as well as a 3.8% increase from the same time last year.
NAR Chief Economist Lawrence Yun said the recent change in mortgage rates is responsible for the jump in pending home sales. “Lower mortgage rates are enabling more homebuyers to go under contract.”
Pending home sales are indicators of the direction of the housing market in general based on purchase contracts signed for homes for sale.
Which regions showed changes in pending home sales?
Three of the four regions the NAR tracks in the U.S. showed increases in pending sales in August from the previous month, though pending sales in all regions increased from the same time last year.
- Pending sales in the Midwest increased 8.7% from the previous month and increased 6.7% from the same time last year.
- The West saw a jump of 5% in pending home sales from the previous month, up 0.2% from a year ago.
- Signed contracts in the South grew 3.1% from the previous month, up 4.2% from August 2024.
- The Northeast experienced a 1.1% dip in pending home sales from last month but increased 2.6% from last year.
One region in particular showed a marked increase in pending home sales. "In the Midwest, low mortgage rates combined with high levels of affordability are attracting more buyers compared to other regions," Yun said.
With mortgages rates on a steady decline since May and the summer almost fully behind them, many buyers worked to get into new homes before rates rise and temperatures drop.
Did mortgage rates show any change?
According to data from Freddie Mac, the 30-year fixed rate mortgage averaged 6.3% as of Sept. 25*. That’s up from 6.26% one week ago and up from 6.08% one year ago.
Mortgage rates have slowly declined since the start of spring, despite the slight rise this week. Homebuyers seem to be taking advantage of the lower rates before the cooler months make moving into a new home more challenging.
Are you ready to start the homebuying process? Start by applying for a mortgage pre-approval and begin your journey toward your dream home with Guaranteed Rate Affinity! A pre-approval shows sellers and real estate agents that you’re serious and gives you an idea of how much of a mortgage you’re likely to get approved for.
* National average rates from Freddie Mac as of Sept. 25, 2025, are not advertised rates from Guaranteed Rate Affinity.
Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Refinancing your mortgage may increase costs over the term of your loan. Restrictions may apply.
All information provided in this publication is for informational and educational purposes only, and in no way is any of the content contained herein to be construed as financial, investment, or legal advice or instruction. Guaranteed Rate Affinity does not guarantee the quality, accuracy, completeness or timelines of the information in this publication. While efforts are made to verify the information provided, the information should not be assumed to be error-free. Some information in the publication may have been provided by third parties and has not necessarily been verified by Guaranteed Rate Affinity. Guaranteed Rate Affinity its affiliates and subsidiaries do not assume any liability for the information contained herein, be it direct, indirect, consequential, special, or exemplary, or other damages whatsoever and howsoever caused, arising out of or in connection with the use of this publication or in reliance on the information, including any personal or pecuniary loss, whether the action is in contract, tort (including negligence) or other tortious action.