Pending home sales in the United States declined by 3.4 percent year over year during the four weeks ending May 11, real estate brokerage Redfin said in a May 15 statement. Spring home buying has been sluggish this year due to economic uncertainties.
A total of 89,132 pending sales were recorded for the period, which is the “lowest level on record for this time of year aside from 2020,” the company said.
Pending home sales refer to sales contracts that have been signed, but the transaction has not been completed. It acts as a barometer for the future performance of the housing market.
Redfin attributed the decline in pending sales to rising home prices and elevated mortgage rates, with these factors pushing up the median monthly housing payment to $2,860, only $6 short of the record high….