Pending home sales increased 0.1% to an index reading of 106.8 in December, after a revised 1.1% decrease to 106.7 in November, according to a report released Thursday by the National Association of Realtors.
Economists polled by Thomson Reuters predicted the index would be up 0.7%
The November decrease was first reported as 0.9% to 106.9.
An index of 100 is equal to the average level of contract activity during 2001.
Year-over-year the pending homes sales index increased 4.2% from last December, when the index was 102.5.
Regionally, pending sales were mostly lower. The Northeast saw a 6.1% gain to 97.8, while sales fell 2.1% in the West to 97.5. In the South, sales slid 0.5% to 119.3, and sales were off 1.1% to 103.6 in the Midwest.
"Warmer than average weather and more favorable inventory conditions compared to other parts of the country encouraged more households in the Northeast to make the decision to buy last month," NAR Chief Economist Lawrence Yun said. "Overall, while sustained job creation is spurring more activity compared to a year ago, the ability to find available homes in affordable price ranges is difficult for buyers in many job creating areas. With homebuilding still grossly inadequate, steady price appreciation and tight supply conditions aren't going away any time soon."
