According to BlockBeats, the pending sales index of existing homes in the United States fell to a record low in July due to high prices and borrowing costs. The signed contract index fell 5.5% to 70.2 last month, the lowest since 2001.
NAR Chief Economist Lawrence Yun said that despite job growth and inventory increases, affordability challenges and wait-and-see sentiment in the U.S. presidential election have affected the market. In the past two years, high borrowing costs and insufficient inventory have kept the second-hand housing market sluggish.
While mortgage rates fell this month to their lowest level in more than a year, high home prices and limited inventory are still deterring would-be buyers, who may be waiting for lower rates.
