US Pending home sales plunge 30% in May

by reggielal on July 1, 2010

No Real Estate Recovery yet folks !
The pending US home sales index plunged 30% in May after rising 23% between January and April, the National Association of Realtors reported. The index, which measures signed Real Estate sales contracts on previously owned homes, was down 15.9% compared with the same month a year ago.

The pending home sales index is a leading indicator for sales of existing homes, which are recorded at the time of the closing. The sharp drop in pending home sales mirrors the 33% drop in sales of new homes in May, which are also recorded at the time of the sales contract.

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