Pending home sales slide as buyers grow more cautious
The numbers: Falling sales The number of home buyers who signed a contract to purchase a home in November declined, as high home prices give buyers pause.
The pending home-sales index gauges real-estate transactions where a contract was signed for a previously-owned home, but the sale has yet to close, and it is benchmarked to contract-signing activity in 2001. The index provides insight into the direction of existing-home sales data will take in the months to come, which is based on closed transactions.
The big picture Buyers might be getting cold feet, according to National Association of Realtors chief economist Lawrence Yun. “There was less pending home sales action this time around, which I would ascribe to low housing supply, but also to buyers being hesitant about home prices,” he said.
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