Pending sales of homes ticked up in November, the first gain in six months, signaling that upcoming activity may rise, the National Association of Realtors reported Monday. The index of pending home sales increased 0.2% last month to 101.7, slightly above a 10-month low of 101.5 in October, but down from 103.3 in November 2012. "We may have reached a cyclical low because the positive fundamentals of job creation and household formation are likely to foster a fairly stable level of contract activity in 2014," said Lawrence Yun, NAR's chief economist. Also, buyers are becoming accustomed to higher mortgage rates and pricier properties, economists say. Although higher mortgage rates have taken a bite out of housing-market activity, Yun said sales in 2013 will be the highest in seven years. Pending sales typically close within two months. An index reading of 100 equals 2001's average contract activity level.
Source: Marketwatch
Source: Marketwatch
