Pending home sales dipped modestly in July, noting two consecutive months of declines, according to the National Association of Realtors®.
The Pending Home Sales Index (PHSI),* www.nar.realtor/pending-home-sales, a forward-looking indicator of home sales based on contract signings, declined 1.8% to 110.7 in July. Year-over-year, signings fell 8.5%. An index of 100 is equal to the level of contract activity in 2001.Source: National Association of Realtors®.
As reported on August 31, 2021, The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 18.6% annual gain in June, up from 16.8% in the previous month. The 10-City Composite annual increase came in at 18.5%, up from 16.6% in the previous month. The 20-City Composite posted a 19.1% year-over-year gain, up from 17.1% in the previous month.
The West saw contract signings increase in July compared to June. The Northeast shoed the biggest monthly and year-over-year decreases. However, regions of the United Stated recorded year-over-year declines, dropping 8.5% nationally.
Lawrence Yun, NAR’s chief economist said, “The market may be starting to cool slightly, but at the moment there is not enough supply to match the demand from would-be buyers,” “That said, inventory is slowly increasing, and home shoppers should begin to see more options in the coming months.
Existing-Home Sales for August will be reported September 22, 2021, following Pending Home Sales Index announcement in September 29, at 10:00 a.m. ET.