Pending home sales in the United States increased by 2% in February compared to January, the National Association of Realtors (NAR) said in a report on Thursday. Sales fell by 3.6% on a yearly basis. The sales index rose the most in the South region at 6.2% month-on-month, followed by the Midwest at 0.7%. Meanwhile, the Northeast was down 0.9% and the West dropped 3%.
"Despite the modest monthly increase, contract signings remain well below historical levels. A meaningful decline in mortgage rates would help both demand and supply - demand by boosting affordability, and supply by lessening the power of the mortgage rate lock-in effect," NAR Chief Economist Lawrence Yun said.
