US Pending Home Sales Surge To Highest Since 2005

After new- and existing-home-sales soared in July, analysts expected the rebound in pending-home-sales to slow dramatically, and while it did, it beat expectations – rising 5.9% MoM (vs +2.0% expectations).

This leaves pending home sales up a stunning 15.4% YoY…the biggest annual jump since Oct 2012

Source: Bloomberg

This is the highest level for the pending home sales index since Oct 2005…

Source: Bloomberg

“We are witnessing a true V-shaped sales recovery as homebuyers continue their strong return to the housing market,” Lawrence Yun, NAR’s chief economist, said in a statement.

Anecdotally, agents are saying that “scarce inventory remains a problem,” Yun said.

Pending home sales rose 25.2% in the Northeast and 6.8% in the West. Gains were smaller in other regions, with a 3.3% increase in the Midwest and 0.9% in the South.