Pending home sales surged by in March, marking the greatest month-to-month increase since December 2023.
The National Association of Realtors’ (NAR) Pending Home Sales Index was up by 6.1% month-over-month to a reading of 76.5 in March; an index of 100 is equal to the level of contract activity in 2001. Year-over-year, pending transactions were down by a mild 0.6%.
NAR reported that the Northeast experienced month-over-month losses in transactions, while the Midwest, South and West saw gains. Year-over-year, contract signings grew in the Midwest but fell in the Northeast, South and West.
“Home buyers are acutely sensitive to even minor fluctuations in mortgage rates,” said NAR Chief Economist Lawrence Yun. “While contract signings are not a guarantee of eventual closings, the solid rise in pending home sales implies a sizable build-up of potential home buyers, fueled by ongoing job growth.”
Yun added, “Consumers should note that the spring homebuying season typically brings in a surge of home buyers and sellers compared to the winter months.” “In March, signed contracts surged 34.1% from February based on non-seasonally adjusted raw data, reflecting a pattern consistent with previous years. In addition, inventory levels rose by 8.1% in March from the prior month, indicating a more dynamic housing-market environment.”
6% is nothing. You got 10 months supply. DROP THE PRICES.
We have less than 3 months supply in our market…
Nick, not sure where you are, but the DFW area has less than 6 months inventory in most of the area. A few at 6 but most under 6 months.