Pending home sales down slightly in August, up from 2010

The National Association of Realtors (NAR) reported Thursday that pending home sales in August slipped but remained higher than a year ago, with a mixed regional performance.

The Pending Home Sales Index, which is based on contract signings, declined 1.2 percent to 88.6 in August from 89.7 in July but is 7.7 percent above August 2010 when it stood at 82.3. The data reflects contracts but not closings.

Lawrence Yun, NAR chief economist, said the decline reflects an uneven market. “The biggest monthly decline was in the Northeast, which was significantly disrupted by Hurricane Irene in the closing weekend of August,” he said. “But broadly speaking, contract signing activity has been holding in a narrow range for many months.”

The PHSI in the Northeast fell 5.8 percent to 63.6 in August but is 1.3 percent higher than August 2010.

In the Midwest the index declined 3.7 percent to 76.2 in August but is 8.2 percent above a year ago.

Pending home sales in the South rose 2.6 percent to an index of 96.9 and are 7.6 percent higher than August 2010.

In the West the index declined 2.4 percent to 108.1 in August but is 10.5 percent above a year ago.