The Realtors’ pending home sales index is above its level when the economy collapsed last fall; gains are strongest in the South and West. But prices are still falling
(Source: Business Week)
Signed home-purchase agreements in the U.S. rose in June to the highest monthly level in two years, according to the National Association of Realtors’ pending home sales index that was released on Aug. 4.
Pending home sales, considered a leading indicator because closings typically follow a month or two later, rose 3.6% in June, compared to May—the fifth consecutive monthly increase. That’s the longest streak of increases in six years. The index has also surpassed its level when Lehman Brothers collapsed last September and unemployment began to skyrocket. Pending home sales were also up 6.7% compared to June 2008, and were higher than in any month since June 2007.
Read Prashant Gopal’s full article “Pending Home Sales Rise for Fifth Straight Month” in Business Week (August 4, 2009).