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ccording to recent data from the National Association of Realtors, there was a significant increase in pending U.S. home sales in June 2024, with a rise of 4.8%. All four regions in the country posted monthly gains in transactions. However, year-over-year, the Northeast, Midwest, and South experienced declines, while the West region saw an increase.

    The Pending Home Sales Index (PHSI), a forward-looking indicator of home sales based on contract signings, grew to 74.3 in June. Compared to the same period last year, pending transactions were down by 2.6%. It's worth noting that an index of 100 represents the level of contract activity in 2001.

    Lawrence Yun, NAR's Chief Economist, commented on the rise in housing inventory leading to more contract signings, with multiple offers becoming less intense and buyers finding themselves in a more favorable position.

    In terms of regional breakdown, the Northeast PHSI increased by 3.0% from last month to 65.5, representing a decline of 0.3% from June 2023. The Midwest index rose by 4.7% to 73.7 in June, down 4.2% from one year ago. The South PHSI increased by 6.3% to 89.3 in June, dropping 3.9% from the prior year. Lastly, the West index climbed by 3.4% in June to 58.4, up 1.0% from June 2023.

    Yun also mentioned that more inventory is expected to come onto the housing market in the upcoming months before the normal seasonal declines in winter. The small gain in contract signings in the Northeast is due to the ongoing housing shortage situation in that region, leading to stronger home price gains. This makes it a good time for listing.

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