U.S. Pending Home Sales Index

The U.S. Pending Home Sales Index is the National Association of REALTORS® index level of signed contracts to buy existing single-family homes, condos and co-ops, before the sales close. It is reported as an index (2001 = 100), not a percentage change; the month-on-month and year-on-year changes are separate calendar events with their own definitions. Because contracts usually close one to two months later, it is a leading indicator for existing-home sales.

Housing activity can provide an early read on household demand, mortgage-rate sensitivity and the broader pace of the US economy. The release may be relevant to expectations for growth, consumer spending and interest rates, especially when it materially differs from forecasts.

US dollar and interest-rate markets

An unexpectedly large deviation from consensus can influence views on US growth and rate-sensitive consumer activity, particularly when other housing data point in the same direction.

US housing-related equities and credit

The release can add context for expectations around residential transaction volumes, financing demand and housing-sector conditions.

Moderate. Pending contracts are not completed sales and can fail to close. The series can be affected by seasonal adjustment, weather, mortgage-rate changes and revisions or methodological updates, so it is best assessed alongside other housing indicators.

• Compare the result with both the consensus forecast and the prior month, including any revisions.
• Check mortgage-rate movements and other housing releases such as existing-home sales, new-home sales and housing starts.
• Remember that signed contracts are not final closings and may not translate one-for-one into completed sales.
• Liquidity and spreads can change around US data releases, especially when other important indicators are scheduled nearby.

Educational guidance only — never a trading signal or recommendation.