Pending home sales in West Knoxville, and in other areas of the country, have been trending upwards over the past year in a uneven, but meaningful pattern, according to a news release from the National Association of Realtors which was published last week.
This assessment is based on recent data from Pending Home Sales Index. The Pending Home Sales Index is a key indicator for housing market, it measures the number of homes with pending contracts that have been signed and will go to closing soon.
The index is based on the current pending contracts compared to 100, which was the average number of pending contracts in 2001, when the housing market was considered to be healthy and growing.
Pending home sales rose from 95.1 in December 2011 to 97.0 in January 2012, a 2.0% increase in pending contracts. And, compared to pending contracts a year ago, the market has seen an 8.0% increase since January 2011, when the home sales index was 89.8. The January 2012 index is the highest it has been since April 2010 when many home buyers were taking advantage of the home buyer tax credit.
The pending home sales increase can be somewhat attributed to a recent decrease in unemployment and historically low home prices and interest rates, which make purchasing a home all the more appealing.
So what does this mean for people thinking about buying or selling a home in West Knoxville?
This is good news for anyone considering buying or selling a home in West Knoxville. The winter months can be a slower for the housing market and to see an increase during these month is a good thing. Hopefully, it will mean the spring and summer market will see just as much, or more of an increase for West Knoxville home buyers or sellers.
What do you think about these statistics? Does it change your mind about buying or selling a home in West Knoxville? Please let me know if there is any way that I can assist you in buying or selling a West Knoxville home, give me a call at 865-696-9002 or send me an email.