Pending home sales in March continued their recent momentum, rising for the third straight month. according to the National Association of Realtors. The forward-looking indicator based on contract signings, climbed 1.1 percent to 108.6 in March. The index has now increased year-over-year for seven consecutive months and is at its highest level since June 2013.
Lawrence Yun, NAR chief economist, says contract signings picked up in March as more buyers than usual entered this year’s competitive spring market. “Demand appears to be stronger in several parts of the country, especially in metro areas that have seen solid job gains and firmer economic growth over the past year.” he said. “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. It indicates this year’s activity is being driven by more long-term homeowners.”
Pending home sales growth was greatest in the Western Region of the country rising 15.6 percent above last March.