(AURN News) — Pending home sales dropped 4.6% in January, reaching an all-time low on the National Association of Realtors' Pending Home Sales Index as high prices and mortgage rates continued to strain affordability in the first month of President Donald Trump's term.

The NAR reported the steepest regional decline occurred in the South, where sales plummeted 9.2%, while the Northeast experienced what the association described as a "modest gain."

"It is unclear if the coldest January in 25 years contributed to fewer buyers in the market, and if so, expect greater sales activity in upcoming months," NAR Chief Economist Lawrence Yun said in a statement. 

According to the NAR, mortgage rates in January fluctuated between 6.91% and 7.04%. The monthly payment for a home that cost $300,000 increased to $1,590.

The housing data represents an early economic challenge for the Trump administration after polling showed the economy ranked among voters' top concerns during last year's presidential campaign.

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