The National Association of Realtors is reporting that pending home sales declined 2.6% in November, 2020. The NAR’s Pending Home Sales Index (a forward-looking indicator based on contract signings) fell slightly to 125.7, the third straight month of declines. In addition, they report that year-over-year contract signings were up 16.4%, with all regions reaching double-digit year-over-year increases. Once again, we find a lack of inventory influencing the market….
“The latest monthly decline is largely due to the shortage of inventory and fast-rising home prices,” said Lawrence Yun, NAR’s chief economist. “It is important to keep in mind that the current sales and prices are far stronger than a year ago.”