LOS ANGELES — Pending home sales in California rose in February from the previous month but were lower than year-ago levels. Meanwhile, equity sales rose to their highest level in nearly five years, the ACalifornia Association of Realtors recently reported.
Pending home sales data
CAR’s Pending Home Sales Index rose 8.7 percent from a revised 101.4 in January to 110.2 in February, based on signed contracts. Pending sales were down 8.2 percent from the 120 index recorded in February 2012. Pending home sales are forward-looking indicators of future home sales activity, providing information on the future direction of the market.
Distressed housing market data
- The share of equity sales — or non-distressed property sales — now make up more than two-thirds of all home sales for the first time since April 2008. The share of equity sales in February increased to 67.1 percent, up from 64.4 percent in January. The February level marked the highest level since April 2008, when the share was 67.3 percent. Equity sales made up less than half (46.7 percent) of all sales in February 2012.
- The combined share of all distressed property sales dropped to 32.9 percent in February, down from 35.6 percent in January and down from 53.3 percent in February 2012.
- Of the distressed properties, the share of short sales was 19.9 percent in February, down from 21.5 percent in January and down from 24.8 percent a year ago.
- The share of REO sales decreased from 13.7 percent in January to 12.6 percent in February and was down from 28 percent in February 2012.
- The available supply of REOs remained tight in February, with the Unsold Inventory Index for REOs remaining unchanged from January at 2.0 months. The February Unsold Inventory Index for short sales was 3.3 months and 3.8 months for equity sales.