UPDATE: Pending home sales surged 1.9% in October 2023, signaling a potential turning point in the housing market. However, sales dipped 0.4% year-over-year, according to the latest report from the National Association of REALTORS®. This mixed news reflects shifting dynamics across various U.S. regions.
Regional analyses reveal that pending sales fell in the West but rose in the Midwest, Northeast, and South. The Midwest outperformed other regions due to its better affordability, while the expensive West saw a retreat in contract signings. “The Midwest shined above other regions due to better affordability,” stated NAR Chief Economist Lawrence Yun.
As the holiday season approaches, the typical trend of lengthening days on the market could provide better negotiating power for buyers. October’s Realtors Confidence Index found that 17% of Realtors anticipate an increase in buyer traffic over the next three months, a slight decrease from 20% in September and 19% a year ago. Similarly, 16% expect more seller traffic, down from 19% in September.
Yun added, “Job gains in September, following the data blackout, are reassuring and suggest the economy is not slipping into a recession. This may boost confidence in future homebuying.” The implications of these developments are significant for potential buyers and sellers alike.
The evolving market conditions underscore the importance of staying informed. As we enter the final months of the year, all eyes will be on how these trends develop and affect both buyer and seller sentiment.
Stay tuned for further updates as this story develops.