The Pending Home Sales Index is an index used by the National Association of Realtors based on contracts signed and is a forward looking indicator. October 2009 showed a 3.7% increase from September 2009 and a 31.8% increase over October 2008.
This is a first for the index having this long of a consective rise and the biggest 1 year increase. The index is just below it's record high of 115.2 during March 2006 being at 114.1
Lawrence Yun believes that the increase is due to a normalization of the market sales due to a previous year of underperformance. Normal sales volume should be in the 5.5 to 6 million range and since last year was below 5 million this year is making up for it.
Date: 2009-12-25 10:08:00