US Pending Home Sales Increase 0.6% in August

On Thursday, the National Association of Realtors® (NAR) released its Pending Homes Sales Index (PHSI) for August. The PHSI—based on signed real estate contracts, not actual closings, for existing single-family homes, condominiums, and co-ops—increased 0.6% month-over-month to a reading of 70.6 in August. An index of 100 is equal to the level of contract activity in 2001.

Year-over-year, pending homes sales were down 3.0%.

Tn August, three out of four regions reported month-over-month increases and three out of four regions reported year-over-year declines:

• The Northeast PHSI declined 4.6% to a reading of 61.6 and was 2.2% below to August 2023.
• The Midwest PHSI rose 3.2% to a reading of 70.0 but was down 3.6% year-over-year.
• The South PHSI inched 0.1% higher to a reading of 83.6 and was 5.3% below August 2023.
• The West PHSI climbed 3.2% to a reading of 58.0 and was up 2.7% year-over-year.