Tuesday, June 2, 2009

Pending Home Sales Shows Stabilization

The Big Picture with the details:

In the past, we have mostly ignored the monthly improvement when the overall number was negative. As the NAR note themselves, “There is a closer relationship between annual index changes (from the same month a year earlier) and year-ago changes in sales performance than with month-to-month comparisons.”

However, take the the PHSI up 3 months in a row, and the positive annual change as a positive incremental improvement. Not the beginning of a new bull market for houses, but a potential signs things are stabilizing.

Source: Realtor.org

1 comment:

  1. In a month or so, it would be interesting to see pending to actual. The recent MBS volatility just killed about half of those impending sales, because most were not rate locked.