Here is some good economic news for your Tuesday morning.
Pending home sales climbed more than expected in November, with a slight improvement in prices and mortgage rates pushing buyers into the market. This marks the highest level of pending home sales in almost three years.
“Pending sales of US existing homes climbed by more than expected in November as a modest improvement in prices and mortgage rates encouraged buyers.”
— Rapid Response 47 (@RapidResponse47) December 29, 2025
US Pending-Home Sales Jump to Highest Level Since Early 2023 https://t.co/1TxYwrMgBg
According to Bloomberg, the National Association of Realtors (NAR) index showed contract signings rose 3.3 percent last month to 79.2. Those gains were "broad-based across regions" and exceeded most economists' estimates.
Gee, doesn't that sound familiar? Earlier this month, GDP growth "unexpectedly" outpaced economists' expectations. It seems like maybe economists either a) don't know what they're talking about or b) have a political agenda clouding their "expert" advice.
According to NAR's Chief Economist Lawrence Yan, "homebuyer momentum is building." He cites improving affordability and more inventory. Contract signings have increased over the past four months, a trend last seen during the pandemic-induced housing market.
Interest rates have come down from 7 percent to 6.3-6.4 percent, and home prices are growing much more slowly than in 2024.
Looking ahead at 2026, Yan says we could see 14 percent sales growth. That's a very optimistic prediction; most housing market analysts expect growth closer to 1.7 percent.
Affordability will be the main issue heading into the 2026 midterms, and many pointed this out on X.
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"We need to continue housing affordability heading into 2026, with groceries being the main priority if we want to sway the American People," wrote Shawn Ashers.
"To all those who said I was wrong about home prices improving - do your homework before you scoff at me or anyone else saying things that don’t fit your narrative," said Francisco Vandalay.
Others pointed out that this might be a short-lived response to a dip in mortgage rates.
"Short-lived sugar high? The pop came from mortgage rates dipping briefly to ~6.2%. If rates stabilize or rebound (or economic uncertainty rises), this "momentum" could vanish quickly — economists see 2025–2026 sales staying roughly flat vs. 2024," wrote Emmanuel Oyetoro.
"The unchecked illegal immigration and open borders policies allowed by the Biden administration continue to put significant strain on housing, pricing out American families," Turner told Fox News. "These policies have plagued America’s housing market, but in President Trump, Americans finally have a leader fighting to restore sanity to American immigration policy."
In a post on X, Turner said that deporting illegal immigrants and kicking them out of housing would "free up housing units, bring back affordability, and restore safety."
When millions of illegals flooded our country, they snatched up countless housing units.
— Scott Turner (@SecretaryTurner) November 28, 2025
Renters and those in public housing received the brunt of it.
Kicking illegals out of housing will free up housing units, bring back affordability, and restore safety. pic.twitter.com/IFVI3fOTE0
Others pointed out that a lack of housing supply also increases costs, including Jenna Stauffer, Global Real Estate Advisor at Sotheby's International Realty of Key West. "We’ve really been under building for almost two decades. After the Great Recession, construction basically stalled, and it took years to recover. By some estimates, the U.S. is short four to seven million homes, and that long-term shortage is the core issue behind today’s affordability challenges," she said.
This is an opportunity for the Trump administration to continue its immigration policies and work to boost the construction of new housing through 2026.
Editor’s Note: Thanks to President Trump’s leadership and bold policies, America’s economy is back on track.
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