Home buying was strong in March, as the Pending Home Sales Index from the National Association of Realtors improved during the month, ending the first quarter on a high note.
The PHSI finished March at a reading of 101.4, marking a more-than-4 percent jump from a month earlier and nearly a 13 percent rise from March 2011. The index finished the first quarter at its highest level since April 2010.
Two of the nation's four regions – the South and West – saw growth in their PHSIs during the month, while the Northest and East experienced modest dips on a monthly basis.
Lawrence Yun, chief economist for NAR, stated the news is promising for the housing market.
"The housing market has clearly turned the corner. Rising sales are bringing down inventory and creating much more balanced conditions around the county, which means home prices will be rising in more areas as the year progresses," said Yun.
These figures could become stronger as the year progresses given the affordability of mortgage rates. Freddie Mac reports long-term fixed-rate mortgages averaged 3.88 percent during the week ending April 26.
