Home›Real Estate›Residential›U.S. pending home sales hit highest level in six weeks

U.S. pending home sales hit highest level in six weeks

Pending sales rose 1.3% in the four weeks ending July 5, helped by mortgage rates briefly dipping to 6.43% in early July.

Reported · Written up by our desk · Residential

U.S. pending home sales rose 1.3% from a week earlier to the highest level in about six weeks, according to Redfin, with the increase seen over the four weeks ending July 5.

Redfin said homebuying demand picked up partly as temporarily declining mortgage rates eased borrowing costs. The weekly average rate dipped to 6.43% on July 2, and the median monthly housing payment fell to $2,598, the lowest in six weeks, as negotiations between the U.S. and Iran to end the war eased financial turmoil.

Despite that rate respite, Redfin noted mortgage rates have since moved higher, with the daily average rising to 6.68% on July 8. Home prices also remain elevated, with the median sale price up 2.2% year over year to $408,808, nearly $500 below the all-time high.

On the supply side, would-be sellers have not fully matched the uptick in buyer demand, with new listings down 2.5% week over week to their lowest level since January. Redfin said the housing market is showing resilience at the start of summer, though near-record prices and a lack of new listings are keeping some buyers on the sidelines.

More like this

Sources