Pending home sales fell 4.1% in February

Homebuying trends are reversing course amid higher mortgage rates and continued growth in home prices.

Catch up quick: Pending home sales last month were 4.1% lower than in January, the National Association of Realtors reported today.

The big picture: New home sales fell 2% between January and February, the Commerce Department reported on Wednesday. 

• Existing home sales also fell in February from January — by 7.2%, the National Association of Realtors reported last week.

What to watch: February precedes a usually busy spring season for homebuying. But rising rates (now closing in on 5% for a 30-year fixed mortgage) are seen as a threat to the usual pace.