Pending Sales Fall in June - How Does It Impact Santa Rosa Real Estate?

Another indication of weak housing market at the national level. It is unclear how this effects the local Santa Rosa real estate market.

clipped from biz.yahoo.com The National Association of Realtors said its seasonally adjusted index of pending sales for existing homes fell 3.2 percent to a reading of 86.5 from an upwardly revised June reading of 89.4. The index was 6.8 percent below year-ago levels. Lawrence Yun, the trade group's chief economist, forecasts U.S. home sales are on a pace to fall 11 percent from last year to just over 5 million in 2008. Yun also says that stringent lending criteria by Fannie Mae and Freddie Mac -- the mortgage finance companies taken over by the government this weekend held back sales activity.