Pent Up Demand for For-Sale Homes if Price is Right, Suggests NAR

By Keat Foong, Executive EditorWashington, D.C.—Home sales remain in a stable range despite the troubles in the economy, according to the National Association of Realtors (NAR).NAR’s Pending Home Sales Index, a forward indicator based on contracts signed in October, dropped 0.7 percent to 88.9 compared to September. It is 1.0 percent below October 2007. The indicator includes both single family homes and condos and coops. Nevertheless, Lawrence Yun, NAR chief economist, said “the overall level of pending home sales has been remarkably stable over the past year, holding in a generally narrow range.”  Yun suggested in a statement that there is pent-up demand for homes, “and access to safe, affordable mortgages will bring more buyers into the market.”  NAR said areas that are showing healthy gains in pending home sales from a year ago include many markets in Florida and California; Providence, R.I.; Lansing, Mich.; Oklahoma City; and Las Vegas.