US pending home sales improved in June

This Monday, July 10, 2017, photo shows a house for sale, in North Andover, Mass. Americans signed more contracts to buy homes in June, snapping a three-month decline in pending sales, according to information released Monday, July 31, 2017, by the National Association of Realtors. (AP Photo/Elise Amendola)

WASHINGTON — Americans signed more contracts to buy homes in June, snapping a three-month decline in pending sales.

The National Association of Realtors said Monday that its pending home sales index rose 1.5 percent in June to 110.2. The gain still puts the pace of contract signings below its March level. The index has increased just 0.5 percent over the past 12 months.

The U.S. housing market is increasingly confronted with a shortage of properties listed for sale. In the aftermath of the housing bubble bursting a decade ago, there are multiple reasons for the lack of homes available to buy. Investors that bought foreclosed houses during the downturn are now renting them at a tidy profit, while many existing homeowners say they cannot afford the down payment to sell their house and buy a more expensive property.

As a consequence, prices are climbing faster than wages while number of homes listed for sale has plunged. All of this limits just how much sales volumes can advance.

There were 1.96 million homes for sale in June, a 7.1 percent decline from a year ago.

The median sales price has climbed 6.5 percent over the past year to $263,800, a rate more than double the increase in hourly average earnings.

Pending sales contracts are a barometer of future purchases. A sale is typically completed a month or two after a contract is signed. This should signal a slight increase in home sales in the next few months. The Realtors reported last week that completed sales fell 1.8 percent in June to a seasonally adjusted annual rate of 5.52 million.

Must Read

Hit maker Timbaland producing music for fitness...

Aug 10, 2016

Hit-making producer Timbaland is used to people dancing to his beats at nightclubs, and now fans...

Feds: Plastic gun from 3-D printer seized at...

Aug 10, 2016

An official says airport screening agents confiscated a plastic handgun produced with a 3-D printer...

Texas deputy fatally shot at his home was facing...

Aug 10, 2016

A Texas sheriff's deputy who was killed by a bullet from his own gun outside his home late last...

Former Somali refugee poised to win office in...

Aug 10, 2016

A former refugee is poised to become the country's first Somali-American legislator after winning a...

Ecuador to set date for Assange to be questioned...

Aug 12, 2016

Ecuador said Thursday it's ready to set a date for Swedish prosecutors to question Julian Assange...

Sign up now!

About Us

In The Headline sought to bring professionalism back into journalism, bringing you only the most exclusive and the most impactive news from all over the globe.

Contact us: sales[at]intheheadline.com