Wednesday, August 6, 2008

Pending home sales tick up - Aug. 7, 2008


NEW YORK (CNNMoney.com) -- The number of pending homes for sale rose in June, a rebound from the previous month, according to a report released Thursday.


The National Association of Realtors' Pending Home Sales Index rose 5.3% in June to 89 from a downwardly revised reading of 84.5 in May.


The index remains 12.3% below its level in June 2007, when it stood at 101.4.


"The vacillation of data from one month to the next indicates a housing market in transition," said Lawrence Yun, NAR chief economist. "The rise in pending home sales was broad-based with all four regions showing gains."


The number of homes under sales contracts fell more than expected in May after a surprising spike in April.


The trade group launched the Pending Home Sales index in 2001, and a reading of 100 is equal to results that first year.


The index is considered a more forward-looking indicator of home sales than the NAR's closely watched existing home sales report. Unlike existing home sales estimates, pending home sales are usually counted a month or two before a closing contract is signed. 


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[Via Home Mortgage Rates and Real Estate News]


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