Don't Sweat a Slight Dip in Pending Sales

There is much ado about the dip in pending sales last month with many attributing the drop to the rise in interest rates. I am not that worried, sales generally fall off every summer, no matter what the market. We are clearly in a recovery and this is just a normal yearly   decline.   Fannie Mae’s July 2013 National Housing Survey showed that the majority of respondents believe the rise in interest rates will not deter sales,   and that continued improvement in sentiment toward the current buying and selling environment is back on track. Overall rising prices and interest rates encourage banks to lend more money, and the cycle continues.In Rhode Island,   Single family home sales increased 13.4% in August compared to the same period last year, and condominium sales were up 41%. Houses are spending less time on the market and selling for 95% of the list price.   Distressed sales continue to decrease as a percentage of overall sales and inventory levels are pointing towards a balanced market. All in all, a slight dip when everyone is so busy getting ready for fall while still getting the most enjoyment out of   the last days of summer isnt the end of the world, just a slight hiccup on our road to recovery.