Thursday, August 6, 2009

U.S. Pending Home Sales Rise for Fifth Consecutive Month

June saw a rise in pending home sales for the fifth straight month, according to the National Association of Realtors. This increase of 3.6 percent to 94.6 is an encouraging sign for the U.S. housing market as it makes its way toward recovery. According to an article by Inman News, the increase in pending home sales marks the first five consecutive months of gains since July 2003.

The largest jump was seen in the South, where pending home sales rose 7.1 percent. All regions saw at least a minimal increase with the smallest seen in the Northeast, at just .4 percent. Almost all regions were significantly higher than in June of 2008.

"Historically low interest rates, affordable home prices and a large selection are encouraging buyers who've been on the sidelines. Activity has been consistently much stronger for lower prices homes." said Lawrence Yun, NAR chief economist.

In addition to the increase in pending U.S. home sales, home resales have also risen for three months in a row for the first time in five years. Along with the low prices and attractive mortgage rates, the $8,000 first-time home buyer tax credit has kick-started homes sales throughout the Tampa Bay region and greater U.S. real estate market. Recovery is surely underway and the time for buyers to act is now.