WASHINGTON (Sputnik) — US home sales in January reached their highest level in 18 months driven by strong demand from house hunters, according to the US National Association of Realtors (NAR).
“Improved buyer demand at the beginning of 2015 pushed pending home sales in January to their highest level since August 2013,” the NAR said on Friday.
Home sales climbed 1.7 percent in January from the previous month and 8.4 percent compared to a year ago, according to The Pending Sales Home Index, which measures contracting activity and sales of single-family homes and condos.
“Contract activity is convincingly up compared to a year ago, despite comparable inventory levels,” NAR chief economist Lawrence Yun said. “The difference this year is the positive factors supporting stronger sales, such as slightly improving credit conditions, more jobs and slower price growth.”
All indications point to modest gains in the spring buying season, according to Yun, which will ultimately be driven by the impact of low inventory levels on housing prices.
US home sales increased the most in the Northeast, South, and West while the Midwest saw the greatest decline, the statement said. The NAR estimated that total existing sales in 2015 should reach approximately $5.26 billion.
The National Association of Realtors is an American trade association involved in all aspects of the residential and commercial real estate industries.
