Pending Home Sales Rebound in July

by National Association of Realtors

Pending home sales rose in July to the highest level in more than two years and remain well above year-ago levels, according to the NATIONAL ASSOCIATION OF REALTORS®.

The Pending Home Sales Index (PHSI) rose 2.4 percent to 101.7 in July from 99.3 in June and is 12.4 percent above July 2011, when it was 90.5. The data reflect contracts but not closings.

Lawrence Yun, NAR chief economist, said the index is at the highest level since April 2010, which was shortly before the closing deadline for the home buyer tax credit. "While the month-to-month movement has been uneven, more importantly we now have 15 consecutive months of year-over-year gains in contract activity," Yun said.

Limited inventory is constraining market activity. "All regions saw monthly increases in home-buying activity except for the West, which is now experiencing an acute inventory shortage," Yun added.

The PHSI in the West slipped 1.7 percent in July to 109.9, but is 1.3 percent higher than July 2011.

Carylee Stone

Distinctive Properties

858-344-2632

carylee@stonehometeam.com