Pending home sales in the United States rose 2.5% in December 2022 month on month, the National Association of Realtors (NAR) revealed in its report on Friday, noting that this is the first improvement since May. The Pending Home Sales Index (PHSI) came in at 76.9.
On an annual basis, however, the figure plunged 33.8% in the reported month. Regionally, the Northeast PHSI slid 6.5% in December compared to November, landing at 64.7, while the South PHSI advanced 6.1% to 94.1.
"This recent low point in home sales activity is likely over. Mortgage rates are the dominant factor driving home sales, and recent declines in rates are clearly helping to stabilize the market," NAR Chief Economist Lawrence Yun commented.
