Torrid pace of pending sales begins to slowJuly 30, 2013 @ 7:43 am
After reaching the highest level in over six years, pending home sales declined in June, with rising mortgage interest rates beginning to impact the market while higher home prices reduce affordability in high-cost regions, according to the National Association of Realtors.
The Pending Home Sales Index, a forward-looking indicator based on contract signings, edged down 0.4 percent to 110.9 in June from a downwardly revised 111.3 in May, but is 10.9 percent higher than June 2012 when it was 100.0; the data reflect contracts but not closings.
Pending sales have been above year-ago levels for the past 26 months, and the pace in May was the highest since December 2006 when it reached 112.8.
"Mortgage interest rates began to rise in May, taking some of the momentum out of contract activity in June," Lawrence Yun, NAR chief economist, said. "The persistent lack of inventory also is contributing to lower contract signings."
Pike Place Market unveils plans for a dramatic $65 million makeover
Pension No More
Boeing announces it's ending pension plans for 68,000 non-union employees
Please login below with your Facebook, Twitter, Google+ or Disqus account. Existing MyNorthwest account holders will need to create a new Disqus account or use one of the social logins provided below. Thank you.