“Even with market frictions related to the mortgage process, home contract activity continues to improve," said Lawrence Yun, NAR chief economist. "Home sales are recovering now based solely on fundamental demand and favorable affordability conditions.”
On a year-over-year basis, pending home sales have risen for 19 consecutive months. The upward momentum means existing-home sales should rise eight to nine percent in 2013 to approximately 5.1 million, following a 10 percent gain expected for all of 2012. The median existing-home price is projected to rise just over 4 percent in 2013, after rising more than seven percent in 2012.
