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IPFS News Link • Housing

Existing Home Pending Sales Index Declines 7.6%

The Pending Home Sales Index, a forward-looking indicator based on contracts signed in January, fell 7.6 percent to 90.4 from an upwardly revised 97.8 in December ... “We will see weak near-term sales followed by a likely surge of existing-home sales in April, May and June,” [Lawrence Yun, NAR chief economist] said. “The real question is what happens in the second half of the year." The Pending Home Sales Index isn\'t perfect, but this does generally lead existing home sales by about 45 days. The January index suggests sales in February and March will probably be lower than the 5.05 million SAAR in January (Seasonally Adjusted Annual Rate).