The pending home sales index, an index tracking the level of sales contracts on previously owned homes, fell 1.9% in the month of February. Economists were expecting a 0.7% drop. The negative reading follows a positive January, where the initial flat reading was revised to a 0.3% gain.
February's reading of 84.6 was the lowest level ever recorded by the National Association of Realtors. The index has been in service since 2001.
Regionally, pending home sales were down 9.8% in the West, 5.5% in the South, and 3.7% in the Midwest. The index rose 3.2% in the Northeast. Over the past year, pending home sales were down 21.4%.