July’s pending homes sales – a forward-looking indicator – fell vs. the month before, according to the National Association of Realtors (NAR). Moreover, the U.S. Census Bureau noted that home construction spending in June was down 1.3% from the year before.
Lawrence Yun, the chief economist at the NAR stated that low inventory numbers have a direct impact on the economy. He said, “A boost to home building would greatly impact economic growth”.