Pending Home Sales Hit 2 Year High:
Contracts to purchase previously owned U.S. homes matched a two-year high in May, fueling optimism the housing market is poised for a recovery.
The National Association of Realtors said on Wednesday its Pending Home Sales Index, based on contracts signed last month, rose 5.9 percent to 101.1. The index level matched the two-year high reached in March, while the gain was the largest since October 2011.
Before March, the last time pending home sales were as high was April 2010 when buyers were rushing to beat the deadline for a home-buyer tax credit, which was about to expire, the NAR said.
"The housing market is clearly superior this year compared with the past four years," Lawrence Yun, NAR chief economist said in a statement. "We're on track to see a 9 to 10 percent improvement in total sales for 2012."
Data supporting a housing recovery was everywhere last week with big improvements in New Home Sales and Pending Home Sales on existing homes. We also saw a positive improvement in home prices as measured by the Case-Shiller Home Price index which showed price improvements in every metro area except Detroit.
Thanks for sharing this info, Kip Davis of MDC Financial Services! Stay tuned for an update on our local San Diego market performance.
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