The nation’s monthly pending home sales accelerated from a month earlier and year earlier. The biggest gain on a month-over-month basis was made in the West.
A forward-looking indicator of house sales based on contract signings, the Pending Home Sales Index, landed at a preliminary level of 110.0 in September.
The seasonally adjusted index, which reflects contract signings on pre-owned homes, was up nearly 2 percent from the
downwardly revised level the prior month.
A more than 2 percent gain was made versus the upwardly revised index for the same month last year.
The National Association of Realtors published the index on Thursday.
An index of 100 is equal to the average level of contract activity during 2001, the first year examined. Sales volume in 2001 was between 5.0 million and 5.5 million — a level considered normal for the current U.S. population.
“Buyer demand is holding up impressively well this fall with Realtors reporting much stronger foot traffic compared to a year ago,” NAR Chief Economist Lawrence Yun stated in the report. “Although depressed inventory levels are keeping home prices elevated in most of the country, steady job gains and growing evidence that wages are finally starting to tick up are encouraging more households to consider buying a home.”
On a month-over-month basis, sales were up 5 percent in the West — more than any other region — putting the index there at 107.3.
An almost 2 percent increase in the South left the index there at 122.1.
In the Midwest the index was 104.6, off less than a percent from August. September’s index was 96.5 in the Northeast, down less than 2 percent.
