The Pending Home Sales (PHS) index measures housing contract activity. It is based on signed real estate contracts for existing single-family homes, condos and co-ops.
Pending home sales slowed modestly in August, but contract signings remain at their second-highest level over the past year.
About the Index
The Pending Home Sales Index, a leading indicator of housing activity, measures housing contract activity, and is based on signed real estate contracts for existing single-family homes, condos and co-ops. Because a home goes under contract a month or two before it is sold, the Pending Home Sales Index generally leads Existing Home Sales by a month or two.
Video: August PHS Down
Lawrence Yun gives an overview of PHS so far this year, talks about housing starts and shadow inventory, and gives a market forecast through the end of 2014 and into 2015. Watch the video to learn more.