U.S. Home Sales Slip as Rates and Geopolitical Fears Weigh
Existing-home sales fell to a 3.98 million pace in March as mortgage rates rose to about 6.37% and consumer confidence weakened amid strikes on Iran.
Overview
Existing U.S. home sales fell 3.6% in March to a seasonally adjusted annual rate of 3.98 million, the National Association of Realtors said.
Freddie Mac said the average 30-year fixed mortgage rate was 6.37% last week, and economists said strikes on Iran since February have contributed to weaker consumer confidence and higher borrowing costs.
NAR chief economist Lawrence Yun said lower consumer confidence and softer job growth were holding buyers back and he cut his 2026 existing-home sales forecast to a 4% gain from a prior 14% projection.
Despite falling sales, the median existing-home price rose 1.4% year-over-year to $408,800 in March, while unsold inventory remained about 1.36 million homes, a 4.1-month supply, NAR said.
Mortgage applications fell for four straight weeks, and Thomas Ryan of Capital Economics said indicators point to weakening housing demand as a knock-on effect of the Iran conflict.
Analysis
Center-leaning sources frame the housing slump as driven by the Iran conflict, using loaded verbs like 'frozen' and 'fuelled', prioritizing industry economists and NAR figures, and foregrounding quotes linking mortgage-rate rises and weak confidence to the war—choices that emphasize a causal link while downplaying alternative explanations such as domestic policy or seasonal factors.