Homebuying demand rises as mortgage rates decrease
U.S. pending home sales rose 2.7% year-over-year in April 2026, the biggest increase in six weeks, while mortgage-purchase applications have risen to their highest level in three months. Additionally, the weekly average mortgage rate has dropped to 6.23% from a seven-month high of 6.46% at the start of April, pushing the median monthly housing payment down 2.2% year-over-year.
New listings rose 2.2% year-over-year, the second week of increases after five consecutive months of declines.
“Even though more buyers are coming off the sidelines, some are still wondering if they should wait for mortgage rates to fall more before making a move. I tell them no…make an offer,” said Sue Dhillon, a Redfin Premier agent in Seattle. “It is a buyer’s market, but there is competition for desirable homes in popular neighborhoods.”
