Based on contracts signed in November, the Pending Home Sales Index, fell from a revised 85.7 in October to 82.3, NAR said.

NAR Chief Economist Lawrence Yun blamed "mounting job losses and very weak consumer confidence" for the decline.

December could also see weak home-buying activity "due to on going problems in the economy," he said.

From region to region, sales conditions remain uneven. In November, the PHSI dropped 7.2 percent in the Northeast, 6.7 percent in the Midwest, 2.2 percent in the South and 2.4 percent in the West.

From a year ago, pending sales have dropped 10.1 percent in the Midwest, 12.7 percent in the South, 14.6 percent in the Northeast and 19.3 percent in the West, the report said.