- Kent Hoover
- Washington Bureau Chief
- Email | Twitter | Google
January may have been a weak month for home sales, but it was a strong month for contract signings.
Pending home sales jumped to their highest level since August 2013, according to the National Association of Realtors. The group's Pending Home Sales Index, which is based on contract signings, rose from 102.5 in December to 104.2 in January. That's well above January 2014's 96.1 level.
"Contract activity is convincingly up compared to a year ago despite comparable inventory levels," said NAR Chief Economist Lawrence Yun. "The difference this year is the positive factors supporting stronger sales, such as slightly improving credit conditions, more jobs and slower price growth.
"All indications point to modest sales gains as we head into the spring buying season. However, the pace will greatly depend on how much upward pressure the impact of low inventory will have on home prices. Appreciation anywhere near double-digits isn't healthy or sustainable in the current economic environment."
The South saw the biggest increase in pending home sales, up 3.2 percent. The Midwest was the only region that experience a decrease.
No comments:
Post a Comment