The trade group’s proprietary Pending Home Sales Index (PHSI) rose by 1.6 percent to 107.3 in August, reversing the prior month’s decrease
, while the year-over-year level was up by 2.5 percent. All regional indices are up from July: The PHSI in the Northeast increased by 1.4 percent to 94.3, the Midwest index inched up by 0.6 percent to 101.7, the index for the South increased 1.4 percent to 124.4 and the index in the West grew 3.1 percent to 96.4.
“It is very encouraging that buyers are responding to exceptionally low interest rates,” said Lawrence Yun, NAR chief economist. “The notable sales slump in the West region over recent years appears to be over. Rising demand will reaccelerate home price appreciation in the absence of more supply.”