The Pending Home Sales Index rose 5.2 percent to 79.4 based on contracts signed in July from a downwardly revised 75.5 in June, the National Association of Realtors said Thursday. The rise in pending home sales was considerably better than market expectations, which were for pending home sales to come in flat.
“Home sales will remain soft in the months ahead, but improved affordability conditions should help with a recovery,” said NAR’s chief economist Lawrence Yun in a statement. “But the recovery looks to be a long process. Home buyers over the past year got a great deal, and buyers for the balance of this year have an edge over sellers.”