Pending Sales of Previously Owned U.S. Homes Rose 1.1% in March
Source: Bloomberg
10:00 AM EDT
April 29, 2015
The number of Americans who signed contracts in March to buy previously owned homes climbed after the biggest increase in more than four years, a sign for further progress in the housing recovery.
The index of pending home sales rose 1.1 percent after a revised 3.6 percent jump in February that was the biggest since October 2010, figures from the National Association of Realtors showed today in Washington. Demand picked up in the South and West.
An improving labor market and low borrowing costs are making homeownership attainable for more Americans. Wider credit availability and a pickup in wage growth will be needed to spur even bigger gains, while continued price appreciation may help convince more prospective sellers to put their properties on the market.
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“While contract activity being up convincingly compared to a year ago is certainly good news, the increased number of traditional buyers who appear to be replacing investors paying in cash is even better news,” the group’s chief economist Lawrence Yun said in a statement. “It indicates this year’s activity is being driven by more long-term homeowners.”
Read more: http://www.bloomberg.com/news/articles/2015-04-29/pending-sales-of-previously-owned-u-s-homes-rose-1-1-in-march