CNBC: Pending Home Sales Fall in April

The number of contracts signed by home shoppers to purchase existing homes fell 1.3 percent.

Home buyers continued their trend of pulling back in April. According to a monthly index from the National Association of Realtors cited by CNBC, home shoppers signed 1.3 percent fewer contracts to buy existing homes in April when compared to the month before. That number is down 3.3 percent from April of 2016.

This is the second straight month that pending home sales fell. It also comes on the heels of a large decrease in the number of closed home sales in April. Experts believe that this is due to the fact that inventory is continuing to tighten, which is, in turn, raising home prices.

In an interview with CNBC, Redfin chief economist Nela Richardson said, “We know two things heading into the summer selling season. One, home prices continue to leap forward. Two, homebuyers continue to jump into the market. A pop of new listings only encourages more homebuyers to barge their way into this crowded and competitive, lo-inventory market in order to take advantage of still-low mortgage rates.”

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