The Pending Home Sales Index (PHSI) rose 3.6 percent in June, putting it 6.7 percent above June 2008 levels. According to NAR, the PHSI is:
"...released during the first week of each month. It is designed to be a leading indicator of housing activity.
"The index measures housing contract activity. It is based on signed real estate contracts for existing single-family homes, condos and co-ops. A signed contract is not counted as a sale until the transaction closes. Modeling for the PHSI looks at the monthly relationship between existing-home sale contract and transaction closings over the last four years."The PHSI has not had five consecutive months of gains since July 2003. The PHSI increase is the latest in a recent list of positive news for the real estate industry, including:
-Realtor.org, Pending Home Sales Index
- Home prices increase in May
- New-home sales increase at fastest rate in eight years
- Existing-home sales increase, housing inventory declines
Check back to Delta Media Group's Real Estate News blog for more updates on the housing market.