U.S. Housing Sales Decline 8.4% in January 2026; Data Firm Blames Bad Weather

The U.S. housing market cooled in January and might be entering a deep freeze if this winter’s cold weather continues. 

The National Association of Realtors (NAR) published data Thursday that revealed existing U.S. home sales fell 8.4 percent in January from December, with month-over-month and year-over-year sales numbers declining in all regions across the country. 

Housing sales decreased 4.4 percent year-over-year and fell to 3.91 million in January 2026, a 10 percent month-to-month decline from the 4.35 million sales recorded in December 2025. 

“The decrease in sales is disappointing,” said NAR Chief Economist Lawrence Yun. He hypothesized that the freezing temperatures and heavy snowfall that plagued much of the nation in January caused a slowdown in sales, although those same conditions have made it difficult for his firm to determine the exact cause behind this sudden sales decline or conclude whether it’s a one-off event. 

Existing-home sales had increased 5.1 percent month-over-month in December 2025, the strongest jump in sales in nearly three years, according to NAR data from that month. 

Yun also pointed to the fact that low supply continues to favor the market, with inventory declining from a month ago. This lack of supply has led to record-high home prices and a national housing affordability crisis, with no end in sight. 

“Due to low supply, the median home price reached a new high for the month of January,” Yun added. “Homeowners are in a financially comfortable position as a result.

The average American homeowner has accumulated $130,500 in wealth on their home since January 2020, according to NAR. 

Brian Pascus can be reached at bpascus@commercialobserver.com.