Sale Pending in U.S. homes fall 8.7% in December
March 22, 2014
For the month of December, pending home sales fell 8.7 % , a level lower than market expectations of a 0.3 % decline . Thus, in annual sales fell 8.8 percent.
In addition, the index of the last month of 2013 was at its lowest level since October 2011 , reaching the 92.4 points , while the index for November was revised to 101.2 units from the previous 101.7 .
According to the report , climate factor contributed greatly to the fall in pending home sales . In addition, housing prices had a higher income increase , affecting potential buyers .
Meanwhile, low inventory levels affected a greater choice of housing, although employment growth and demand are factors that would help a recovery index .
The NAR said that based on sales activity year-to- date and stable contracts signed in 2013 , the agency expects that home sales are 5.1 million homes this year, but inventory levels limit sales.
Finally , it is expected that the median existing homes increased 5.4 % over the next 12 months.