According to the National Association of Realtors pending home sales have risen for nine months in a row, a first for the series of the index since its inception in 2001.
The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in October, increased 3.7 percent to 114.1 from 110.0 in September, and is 31.8 percent above October 2008 when it was 86.6. The rise from a year ago is the biggest annual increase ever recorded for the index, which is at the highest level since March 2006 when it was 115.2.
It is believed that the historic low interest rates and the home buyer tax credits are contributing to the increase. Eventually, the inventory will begin to stabalize and decrease. When this happens we should expect home prices to begin gaining traction.
If you are still on the fence about buying a home, you might want to jump off as the indicators are pointing to smaller inventories, higher prices, higher interest rates and the disappearance of the tax rebates by the middle of 2010.
Our view of Northwest Ohio homes and other real estate from a company that gives back to the communities of Defiance, Henry, Paulding, Williams, Fulton and Putnam counties.
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