Pending Home Sales were unchanged from October to November, though October’s figures were revised slightly higher according to the National Association of REALTORS® (NAR). Sales were also 5.2% below the level reported in November of 2022. This data measures signed contracts on existing homes, making it a forward-looking indicator for closings as measured by Existing Home Sales.
What’s the bottom line? Though signed contracts were flat from October to November, declining mortgage rates have “sparked a surge in interest, as evidenced by a higher number of lockbox openings,” per NAR’s Chief Economist, Lawrence Yun. Yun added that sales are expected to improve in 2024, as lower rates have led “to savings of around $300 per month from the recent cyclical peak in rates.”