Pending Home Sales Rise AGAIN!

The National Association of Realtors reported that its forward-looking indicator, based on contract signings, rose 1.5% to 108.7 in September. Year-over-year contract signings jumped 3.9%.

According to a press release issued by the NAR, “Pending home sales grew in September, marking two consecutive months of increases, according to the National Association of Realtors. The four major regions were split last month, as the Midwest and South recorded gains but the Northeast and West reported declines in month-over-month contract activity.”

Fast Facts
Reasons contributing to the uptick include:
• Low mortgage rates
• 2 straight months of gains
• Home prices are rising faster than income
• National buying power has increased by 6%
• Jump in foot traffic

The announcement states, “Regional indices in September were mixed, with the Northeast experiencing the smallest change of the four regions. The PHSI in the Northeast fell 0.4% to 93.9 in September, but is still 1.3% higher than a year ago. In the Midwest, the index increased 3.1% to 104.4 in September, 2.7% higher than September 2018.”

“Pending home sales in the South increased 2.6% to an index of 127.5 in September, a 5.7% jump from last September. The index in the West declined 1.3% in September 2019 to 95.1, which is an increase of 3.4% from a year ago.”