US pending home sales fell 0.7 percent in July

WASHINGTON — Fewer Americans signed contracts in July to buy homes compared to the previous month, as real estate sales are slipping even though economic growth is solid.

The National Association of Realtors said Wednesday that its pending home sales index fell 0.7 percent last month to 106.2. During the past year, contract signings have tumbled 2.3 percent as home values have climbed at roughly double the pace of average wage growth.

Home sales have stumbled in recent months despite the robust job market. Affordability has become a challenge as there are few entry-level homes priced below $250,000 being listed for sale and mortgage rates have jumped over the past year.

Pending sales in July fell in the West and South, but they rose in the Northeast and Midwest. Sales in all four geographic regions have declined over the past year, with the sharpest drop in the West where homes are generally more expensive.

Pending sales are a barometer of home purchases that are completed a month or two later.

The Realtors said last week that sales of existing homes have declined for the past four months.

Must Read

Bolt advances, Russian qualifies and an engagement at track

Aug 17, 2016

The midpoint of the nine-day track and field program at Olympic Stadium was a day for diamond rings and making friends, a rare Russian hello and a surprising Brazilian farewell

Hong Kong airline Cathay's 1H profit tumbles 82 percent

Aug 17, 2016

Cathay Pacific Airways' profit tumbled in the first half of the year as economic weakness in China and other important markets cut passenger demand while it faced cutthroat competition from rivals

Asian stocks climb on signs US rate hike off table for now

Aug 18, 2016

Asian stocks rose Wednesday after Wall Street edged higher on news the U.S. Federal Reserve is in no hurry to raise interest rates

Search

Obserworld delivers the most accurate and up-to-date world news for the global audience with a thorough research and in-depth interviews. Discover the world through Obserworld.

Contact us: sales[at]obserworld.com