Pending home sales declined 4.1% in February, the fourth consecutive month of declines, according to the National Association of Realtors.
Year-over-year, contract signings declined 5.4% to a level of 104.9 on the Pending Home Sales Index.
“Pending transactions diminished in February mainly due to the low number of homes for sale,” stated Lawrence Yun, NAR’s chief economist. “Buyer demand is still intense, but it’s as simple as ‘one cannot buy what is not for sale.’”
Regionally, pending home sales rose 1.9% in the Northeast but declined 6.0% in the Midwest, 4.4% in the South and 5.4% in the West.
A PHSI of 100 is equal to the level of contract activity in 2001. The full NAR report can be found here.
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