Pending home sales increased for a third straight month in October, rising 2% compared with September and 5.4% year-over-year, according to the National Association of Realtors (NAR).
“Home buying momentum is building after nearly two years of suppressed home sales,” says Lawrence Yun, chief economist for NAR, in a statement. “Even with mortgage rates modestly rising despite the Federal Reserve’s decision to cut the short-term interbank lending rate in September, continuous job additions and more housing inventory are bringing more consumers to the market.”
Regionally, and month-over-month, pending home sales increased 4.7% in the Northeast, 4.0% in the Midwest, 0.9% in the South, and 0.2% in the West.
“It’s encouraging to see contract signings increasing in all major regions of the country,” adds Yun. “More notable gains from a year ago occurred in the expensive regions of the Northeast and West. The record-high stock market is providing a boost for upper-end home buyers.”
Photo: Ian MacDonald