Pending Home Sales Up Strongly

Pending home sales activity surged as buyers took advantage of low home prices and affordable interest rates, according to the latest report. The Pending Home Sales Index jumped 7.4 percent to 93.4 from an upwardly revised reading of 87.0 in July, and is 8.8 percent higher than August 2007 when it stood at 85.8. The index is at the highest level since June 2007 when it stood at 101.4. Lawrence Yun, NAR chief economist, said home buyers were responding to improved affordability. “What we’re seeing is the momentum of people taking advantage of low home prices, with pending home sales up strongly in California, Nevada, Arizona, Florida, Rhode Island and the Washington, D.C. region,” he said. "It’s unclear how much contract activity may be impacted by the credit disruptions on Wall Street, but we’re hopeful most of the increase will translate into closed existing-home sales.”Read the story >View the commentary >View the forecast >View Pending Home Sales Index>
2008 Local Market Reports
Every housing market is unique, and all real estate is local. That’s why NAR is working to bring you more information on the local level. These reports, which encompass 150 separate local markets, reflect data available through the first quarter of 2008 and provide insights into the fundamentals and direction of the nation's largest metropolitan housing markets. Each downloadable report evaluates a number of factors affecting home prices, including:
The health of the local job market
Foreclosure rates
Housing inventory
Debt-to-income and mortgage-servicing-costs-to-income ratios
These reports are available to members only and require a log in.Find your local market >How to read these reports > (342K PDF)
Dr. Yun’s 2009 Economic Forecast
The U.S. economy has entered a recession and will contract for the next three quarters, and the recovery, from the second half of 2009, will be tepid. The unemployment rate will peak at 6.7 percent by midyear next year before steadily heading down. However, existing home sales will be rising despite challenging economic times. Read the entire commentary >
COMMERCIAL FUNDAMENTALS
Multi-Family Market Trends
While the residential market is still dealing with delinquent mortgages and foreclosures, the multi-family sector is feeling some positive side-effects. A good number of potential first-time home buyers are waiting out the current economic and housing conditions, and choosing to rent. In addition, in markets with significant foreclosures, displaced homeowners choose multi-family buildings to rent. Read more >