Pending sales of US existing homes rise less than forecast

Washington

CONTRACTS to purchase previously owned homes rose less than forecast in September, showing housing will take time to gain momentum.

The pending home sales index increased 0.3 per cent after dropping 1 per cent in August, the National Association of Realtors (NAR) said on Monday in Washington. The median projection in a Bloomberg survey of economists called for a 1 per cent gain.

Still-tight credit and low inventories remain hurdles for a sluggish housing recovery that's still healing more than five years after the downturn. More Americans are being helped by faster progress in the employment pictu…