US pending home sales show further weakness

0 Comments | AFP, January, 2008

WASHINGTON (AFP) — US pending home sales fell 2.6 percent in November, data from the industry showed Tuesday, in a further sign of the struggles in the real estate market.

The National Association of Realtors' pending home sales index fell to 87.6, ending a two-month streak of increases.

The index is now 19.2 percent lower than a year ago, indicative of the meltdown in real estate after several sizzling years.

The pending home sales index counts contracts signed for buying homes, indicating the existing home sales rate one to two months ahead of when the sales close and are counted in a separate report.

While the number dropped in November, NAR chief economist Lawrence Yun said in a statement that he expects existing home sales to remain steady over...