Pending contracts to buy existing homes in the U.S. jumped slightly after taking somewhat of a dive in June. Despite a couple of volatile months, the real estate and housing market seems to be gaining some steam heading into the fall.
The National Association of Realtors announced on Thursday that their seasonally adjusted pending home sales index saw an uptick of .05% to 110.9 for July. USA Today reported that this is up from June’s 110.4.
The pending sales of existing homes is used as a measuring stick for future forecasts regarding home sales going into the final quarters of the month. Experts feel that an improved outlook in employment, as well as mortgage rates remaining low, has stimulated some confidence in the home buying public. In the past seven years since the Crash of ’08, many Americans have accumulated their savings once again and have begun to venture back out into the housing market.
Sales of existing homes rose for July by a modest 2% to an annual rate of 5.59 million. Pending sales were up over last year by an impressive 7.4%. Across the country, pending sales were up .06 in the South, up 4.0% in the Northeast, held steady in the Midwest, and fell in the West by 1.4%.
The sales of existing homes has seen its greatest rise since 2008 and with American business adding nearly 3 million new jobs in the last year, real estate experts are hopeful that the industry is, finally, back on the rise. Mortgage rates continue to be attractive to home buyers of all demographics as Freddie Mac reported this week that the average 30 year fixed rate mortgage was coming in at an attractive 3.84%.