The pending home sales pace declined 1.8% in July 2021 from the prior month and fell 8.5% from a year ago.
From last month, three of the four regions showed gains in contract signings. The West region had the only gain of 1.9%. The Northeast had the largest decline of 6.6% followed by the Midwest which fell 3.3%. The South region had the smallest decrease of 0.9%.
All four regions showed declines from a year ago. The Northeast had the largest dip of 16.9% followed by Midwest with a drop in contract signings of 8.5%. The South had a decrease of 6.7% followed by the West region, which fell by of 5.7%.
The U.S. pending home sales index level for the month was 110.7. July's contract signings bring the pending index above the 100-level mark for the 15th consecutive month. The 100 level is based on a 2001 benchmark and is consistent with a healthy market and existing-home sales above the 5 million mark. Pending sales represent homes that have a signed contract to purchase on them but have yet to close. They tend to lead existing-home sales data by 1 to 2 months.