Pending sales are homes that have a signed contract to purchase on them but have yet to close. They tend to lead Existing Home Sales data by 1 to 2 months.
Three of the four regions showed declines from a year ago. The Northeast was the only region to have an incline of 3.1 percent. The South had a decline of 1.4 percent followed by the Midwest with a decline of 2.8 percent. The West had the biggest decline of 4.5 percent.
From last month, the only region that did not have a decline was the Midwest, which remained flat. The West had the biggest decline of 1.3 percent. The South had a decline of 1.2 percent. The Northeast had the smallest decline of 0.8 percent.
The pending home sales index level for the month was 108.5 for the US. April’s data was revised down slightly to 109.4.
In spite of the decline, this is the pending index’s 37th consecutive month over the 100 index level.
The 100 level is based on a 2001 benchmark and is consistent with a healthy market and existing home sales above the 5 million mark.