The latest housing data indicates that the U.S. market is well into healing.
- The number of pending home sales rose in May by 5.9 percent to 101.1 from 95.5 in April, according to the National Association of Realtors. The Pending Home Sales Index is a forward-looking indicator based on contract signings, and a number above 100 is considered indicative of a healthy market.
- Completed sales of previously occupied homes fell slightly in May but year-over-year figures have jumped 9.6 percent.
- Sales of new homes went up 7.6 percent in May from April.
- Home prices rose in April from March in 19 of the 20 cities measured by the Standard & Poor’s/Case-Schiller home price index.
- Construction of single-family homes in May went up for a third consecutive month.
- And last but certainly not least, the average mortgage rate on a 30-year fixed loan fell to 3.66 percent, the lowest since long-term mortgages began in the 19050s.
Lawrence Yun, chief economist with the National Association of Realtors, shares his view on the trends. “The housing market is clearly superior this year compared with the past four years. The latest increase in home contract signings marks 13 consecutive months of year-over-year gains.”