Sales Contracts Hit Highest Level In Months

Dated: 03/29/2016

Views: 222

Sales Contracts Hit Highest Level in Months | Keeping Current Matters


The National Association of Realtors (NAR) just announced that the February Pending Home Sales Index reached its highest reading since July 2015.


What is the Pending Home Sales Index (PHSI)?

NAR’s PHSI is “a forward-looking indicator based on contract signings”. The higher the Pending Home Sales Index number, the more contracts have been signed by buyers that will soon translate to sales. February’s Index rose 3.5% month-over-month to 109.1.


What does this mean for the market?

Lawrence Yun, NAR’s Chief Economist explained:

"After some volatility this winter, the latest data is encouraging in that a decent number of buyers signed contracts last month, lured by mortgage rates dipping to their lowest levels in nearly a year and a modest, seasonal uptick in inventory."

"Looking ahead, the key for sustained momentum and more sales than last spring is a continuous stream of new listings quickly replacing what's being scooped up by a growing pool of buyers. Without adequate supply, sales will likely plateau."

So What Does This Mean For Buyers?

There is a lot of competition out there right now for your dream home. Prices are going to continue to climb, act now before you are priced out of your future home.


What Does This Mean For Sellers?

If you are on the fence about listing your home for sale and debating whether now is the time to move on with your plans of relocating… don't wait!

There are more buyers that are ready, willing and able to buy their first, second, third, vacation, or investment property now than there has been in years! The supply of homes for sale is not keeping up with the demand of these buyers.

Listing your home for sale now will give you the most exposure to buyers and the best sales price.


Bottom Line

Whether you are planning on buying or selling a house this year, waiting to act no longer makes sense.

Blog author image

John Faber

John Faber has lived in West Michigan his entire life and with strong family ties in the area, he takes his clients' needs to heart and treats them like family when helping them buy or sell a home. J....

Latest Blog Posts

Data Says May Is The Best Month To Sell Your Home In Holland Michigan And Around The Co

According to a newly released study by ATTOM Data Solutions, selling your home in the month of May will net you an average of 5.9% above estimated market value for your home.For the study,

Read More

Are Home Values Really Overinflated

Last week, the National Association of Realtors (NAR) released their most recent Existing Home Sales Report. According to the report: “The median

Read More

Existing Home Sales Reach Highest Pace In 11 Years

Some Highlights: Existing home sales are currently at an annual pace of 5.81 million, the highest pace since December 2006. The inventory of existing homes for sale has dropped

Read More

Competing Offers Highest And Best

In our current housing market you may have heard the words “we are accepting highest and best offers.” What exactly does that mean? Well, it could mean A LOT of things. But generally what the

Read More