Published: 2024-01-26T15:10:41.000Z
U.S. December Pending Home Sales respond to lower mortgage rates
Senior Economist , North America
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December’s 8.3% increase in pending home sales is well above expectations but consistent with recent signs of revival in the NAHB and MBA surveys, as housing demand responds to lower mortgage rates.
Pending home sales had been trending lower since February as have existing home sales but the latest pending home sales data hints at acceleration in existing home sales in the New Year.
Whether the upturn is sustainable is likely to depend on whether the Fed sustains hopes for rate cuts at next week’s meeting.
