Pending Home Sales Inch Up — What It Means for CA Buyers

August pending home sales came in better than expected, but the bigger annual picture tells a more cautious story. Here's how to read the market if you're buying or investing in California.

August's pending home sales numbers came in slightly better than analysts expected — a small but meaningful win given the rate environment we're in. Contract signings managed to eke out a gain even as borrowing costs pushed toward 7%, which tells me there's still real demand out there.

That said, don't let one month's data paint too rosy a picture. When you zoom out and look at the year-over-year trend, activity is still running well below where it was a year ago. Higher rates have clearly slowed the pace of deals getting done.

For California buyers and investors, here's my take: the fact that buyers are still signing contracts despite near-7% rates suggests that those who need to move are moving — and they're not waiting for a perfect rate environment. Inventory in most California markets remains tight, which means prices aren't collapsing even as rates rise.

If you're an investor or a move-up buyer, this is actually a window of opportunity. Less competition, motivated sellers, and the potential for refinancing if rates do pull back later.

Don't let rate anxiety keep you on the sidelines. Reach out today — we'll run the numbers and help you find a loan structure that works right now.