The National Association of Realtors is reporting that pending home sales declined 1.1% in October, 2020. The NAR’s Pending Home Sales Index (a forward-looking indicator based on contract signings) fell slightly to 128.9 with only one major region experiencing an increase in month-over-month contract activity. In addition, they reported that year-over-year contract signings were up 20.2%, year-over-year.
“Pending home transactions saw a small drop off from the prior month but still easily outperformed last year’s numbers for October,” said Lawrence Yun, NAR’s chief economist. “The housing market is still hot, but we may be starting to see rising home prices hurting affordability.”