NAR’s Pending Home Sales Index Gains to 82.1 in Feb.

Pending home sales increased 2.1% to a reading of 82.1 in February from an unrevised 80.4 in January, according to an index released yesterday by the National Association of Realtors.

Thomson Reuters’ poll of economists had predicted an 81.2 reading.

Year-over-year, the pending homes sales index was off 1.4% from last February, when it was at 83.3.

NAR’s housing affordability index rose 0.9% in February to a record 173.5. The index shows that the relationship between home prices, mortgage interest rates, and family income is the most favorable since tracking began in 1970, NAR said.

“Pending home sales have a way to go for there to be a meaningful increase, but recent increases in shopping activity are hopeful indicators that we’ll see additional sales gains,” said NAR chief economist Lawrence Yun. “It will take a few months before we could see this turn up in measurable sales contract activity.”

For reprint and licensing requests for this article, click here.
MORE FROM BOND BUYER