Home sales of existing homes are depressed

Pending home sales in April fell a sharp 7.7% m/o/m, well more than the anticipated 1% decline. This takes the index to just .5 pt from the lowest level on record dating back to 2001.

The NAR stated the obvious reason, “The impact of escalating interest rates throughout April dampened home buying, even with more inventory in the market.” They should have added, and ‘escalating interest rates on top of record high home prices that keep on rising.’