Pending Home Sales Decreased 2.1% in May

Pending home sales in May dropped 2.1%, and year-over-year pending transactions were down 6.6%, according to the National Association of Realtors.

From April to May, pending home sales decreased 0.4% in the Midwest region and 5.5% in the South. Pending sales increased 1.1% in the Northeast and 1.4% in the West.

“The market is at an interesting point with rising inventory and lower demand,” NAR Chief Economist Lawrence Yun said in a statement. “Supply and demand movements suggest easing home price appreciation in upcoming months. Inevitably, more inventory in a job-creating economy will lead to greater home buying, especially when mortgage rates descend.”

The full report can be found here.