Pending Home Sales Have Thin Rise In June

Pending sales of existing homes, which track contract signings, have been showing less strength this year than final sales, a factor that may limit disappointment over June's thin 0.2 percent rise. Year-on-year, pending sales are up only 1.0 percent vs 3.0 percent for final sales. Regional data for pending sales, as they are in the existing home sales report, are unusually balanced, ranging from a year-on-year plus 1.8 percent for the South to minus 1.8 percent for the West. Housing data have been choppy but healthy, pushing to cycle highs during the spring selling season, though this report does hint perhaps at a possible flat patch for the summer.

Recent History Of This Indicator:
Pending home sales fell back in May and are expected to bounce back in June with forecasters calling for a consensus 1.3 percent gain. Final sales of existing homes have been far from robust but, when smoothed out, have been rising gradually and convincingly. Helping to keep sales up have been limited gains in prices. Housing is looking like an increasing, though still only moderate, positive for the overall economy.