Thursday, October 25, 2018

NAR: Pending Home Sales Index Increased 0.5% in September

by Bill McBride on 10/25/2018 10:04:00 AM

From the NAR: Pending Home Sales See 0.5 Percent Increase in September

Pending home sales rose slightly in September and saw substantial increases in both the West and Midwest, according to the National Association of Realtors.

The Pending Home Sales Index, a forward-looking indicator based on contract signings, increased 0.5 percent to 104.6 in September from 104.1 in August. However, year-over-year, contract signings dropped 1.0 percent make this the ninth straight month of annual decreases.
...
The PHSI in the Northeast dropped 0.4 percent to 92.3 in September, and is now 2.7 percent below a year ago. In the Midwest, the index rose 1.2 percent to 102.4 in September and is 1.1 percent lower than September 2017.

Pending home sales in the South fell 1.4 percent to an index of 119.6 in September; however, that is 3.3 percent higher than a year ago. The index in the West increased 4.5 percent in September to 93.1 and plunged 7.4 percent below a year ago.
emphasis added
This was above expectations for this index. Note: Contract signings usually lead sales by about 45 to 60 days, so this would usually be for closed sales in October and November.