Pending home sales show some strength in November

Pending home sales show some strength in November

The pending home sales across the US market witnessed moderate increase according to fresh data shared by the National Association of Realtors. The seasonally adjusted pending home sales index jumped by 0.8 percent in November to 104.8.

The economy has shown signs of strength and consumer confidence is at its highest level in the past few years. The pending home sales index was higher by 4.1 percent compared to November 2013.

The NAB report highlights the steady economic growth and price rise in various real estate markets. The National Association of Realtors is the largest real estate association in the country with more than a million members involved in commercial and residential real estate.

The index remained slightly lower than 2013 average. The pending sales give a better indication of the future real estate purchases. Many buyers have to hold back their decision to purchase as they don’t have strong credit history or have lack of savings to pay for the deal.

The new home sales in November were down by 1.6 percent to a seasonally adjusted annual rate of 438,000, according to Commerce Department report last week. As per NAB estimates, 2014 might end with lower sales compared to year 2013. In 2013, 5.09 million existing homes were sold. NAB estimates the homes sales to remain in 4.94 million to 4.99 million range in 2014.