US pending home sales rebound 4.8% in June from all-time low

ISTANBUL

US pending home sales increased 4.8% in June, rebounding from their lowest level on record, according to data released Wednesday by the National Association of Realtors (NAR).

The figure was much higher than expectations of a 1.4% increase.

Pending home sales for May were revised to a decline of 1.9%, from a decrease of 2.1% when it hit an all-time low.

The pending home sales index, which is a forward-looking indicator of home sales based on contract signings, rose to 74.3 in June from 70.8 in May.

"The rise in housing inventory is beginning to lead to more contract signings," said Lawrence Yun, NAR’s chief economist. "Multiple offers are less intense, and buyers are in a more favorable position."

Pending transactions, however, were down 2.6%, compared to the same month last year.

Pending home sales declined in all US regions on an annual basis, except in the West which showed an increase, NAR said in its statement.

"Even more inventory is expected to come onto the housing market in the upcoming months ahead of the normal, seasonal declines in the winter," said Yun.