Leading Indicator of Home Sales Predicts Slow Market 1st Half 2014

Pending home sales were lower in January 2014 compared with January 2013, according to data released by the National Association of Realtors® yesterday. Weather, lack of homes to sell, and tight credit were blamed for the decline. Higher prices and higher interest rates also contributed to lower sales. “Affordability isn’t as favorable as it was a year ago,” said NAR’s chief economist.

In the Western Region, where bad weather didn’t have an impact as it did elsewhere, home sales were still 17.5% lower than one year ago. Lack of inventory to sell is the likely cause.

Read more: Pending Home Sales Mostly Flat in January | Realtor Magazine.

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