Pending Home Resales Unexpectedly Climbed in June

U.S. pending sales of previously owned homes unexpectedly rose in June as buyers swept up foreclosed and lower-priced properties. The index of pending home resales rose 5.3% after May's revised 4.9% decline, the National Assn. of Realtors said recently. A separate report showed claims for jobless benefits jumped last week to a six-year high. The most foreclosures on record forced property values down enough to stir interest among buyers, helping to stabilize the market. Still, repos may keep mounting as stricter lending rules make it harder for owners to refi their mortgages, economists said. The measure increased in all 4 regions of the country from May, led by a 9.3% gain in the South. Purchase contracts also rose 4.6% in the West, 3.4% in the Northeast and 1.3% in the Midwest. Compared to a year ago, contract signings remained down in all 4 regions. Sales have been consistently strong in cities like Sacramento, California, Las Vegas and Ft. Myers, FL, according to the report. The increases are also broadening to more affordable markets like Columbus, OH and Charleston, WV, the NAR also said.