U.S. pending home sales flat in September despite lower rates, hindered by economic uncertainty and a government shutdown.

Pending home sales in the U.S. held steady in September, defying expectations of a 1.0% increase, with a 0.9% drop from a year earlier, according to the National Association of Realtors. Despite mortgage rates falling to 6.30%, buyer activity remained flat, as economic uncertainty and a softening labor market deterred purchases. Refinancing rose, but new home buying did not, with inventory at a five-year high. Regional results varied, with gains in the Northeast and South offset by declines in the Midwest and West. A 29-day government shutdown disrupted housing programs and threatened nearly 109,000 closings in flood zones.