Monday Market Update: The Latest Pending Home Sales Stats

Pending home sales have dropped month-over-month and year-over-year in the West – check it out.

June is drawing to a close and you know what that means – the latest home sales statistics for May are complete. As we look at the latest full month of complete housing data, you will notice a shift on both a national and regional level.

The infographics below from the National Association of Realtors® and California Association of Realtors® reveal a notable trend on the West coast: pending home sales are down. While the Northeast and South experienced pending home sales increases, the West and Midwest endured month-over-month declines.

The year-over-year change in California is the most dramatic at -30.6%, as CAR® reports that pending sales had the worst decline since the pandemic shutdown. If you take that to a local level, San Mateo County experienced a drop in closed sales of 7.8% month-over-month.

NAR Chief Economist Lawrence Yun explains the shift in the market very simply: "Contract signings are down sizably from a year ago because of much higher mortgage rates.”

He adds that “The largest decline in contract activity was observed in the West region, where homes are the most expensive. This further indicates the growing need to increase supply to tame home price growth and improve the chances of ownership for potential home buyers."

As you weigh the data and consider your own real estate goals, we encourage you to focus on the outcomes that are possible for you. The equity in your current home, the inventory in the markets you are buying and selling in, the ROI you could achieve, and the cost of waiting are equally important factors to consider beyond these pending home sales stats.

Consider where you want to be and keep an open mind that there may be multiple ways to get there.

Have a great end to June!

Bobbi Decker
DRE#00607999

Broker Associate, Bobbi Decker & Associates
650.346.5352 cell
650.577.3127 efax
www.bobbidecker.com
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Bobbi Decker & Associates fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. For more information, please visit: http://portal.hud.gov/