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After climbing in June, July’s pending sales stumbled, highlighting uncertainty, despite historically low mortgage rates, according to the latest National Association of REALTORS® Pending Home Sales Index, based on contract signings.

The Index lowered 2.5 percent month-over-month and 0.3 percent year-over-year.

Credit: National Association of REALTORS®

“Super-low mortgage rates have not yet consistently pulled buyers back into the market,” says Lawrence Yun, chief economist at NAR. “Economic uncertainty is no doubt holding back some potential demand, but what is desperately needed is more supply of moderately priced homes. A boost to home-building would greatly improve economic growth. More free market prices on construction materials without government interference about where home builders have to get their supply will also help produce more and grow the economy. The housing industry cannot grow without more supply.”

According to NAR, inventory in July slid to 1.89 million, down 1.6 percent year-over-year.

For more information, please visit www.nar.realtor.

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