Pending home sales increased 8.0% in May after a 4.4% decline in April, the National Association of Realtors reported. Pending home sales increased 13.1% compared with May 2020.
It’s the highest pending home sales reading for May since 2005.
“May’s strong increase in transactions—following April’s decline, as well as a sudden erosion in home affordability—was indeed a surprise,” stated Lawrence Yun, NAR’s chief economist. “The housing market is attracting buyers due to the decline in mortgage rates, which fell below 3%, and from an uptick in listings.”
Regionally, pending home sales increased 15.5% in the Northeast, 6.7% in the Midwest, 4.9% in the South and 10.9% in the West.
The full NAR report can be found here.
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