The Pending Home Sales Index rose 1.6 percent to a level of 109 in December, versus a level of 107.3 in November, according to the National Association of Realtors.
“Pending sales rebounded last month as enough buyers fended off rising mortgage rates and alarmingly low inventory levels to sign a contract,” said Lawrence Yun, NAR chief economist, in a statement. “The main storyline in the early months of 2017 will be if supply can meaningfully increase to keep price growth at a moderate enough level for households to absorb higher borrowing costs. Sales will struggle to build on last year’s strong pace if inventory conditions don’t improve.”
The PHSI in the Northeast declined 1.6 percent to 96.4. The Index decreased 0.8 percent in the Midwest to 102.7. In the South, the PHSI grew 2.4 percent to 121.3, while the Index in the West increased 5 percent to 106.1.
