The housing market is showing strong momentum, with pending home sales increasing for the third straight month in October 2024, according to the National Association of REALTORS® (NAR). All four major U.S. regions experienced month-over-month growth in contract signings, with the Northeast leading the charge. Year-over-year, pending transactions saw a rise across the board, with the West showing the largest growth.

Key Metrics at a Glance

The Pending Home Sales Index (PHSI), a key forward-looking indicator of home sales based on contract signings, rose by 2.0% to 77.4 in October. This marks a 5.4% increase year-over-year, signaling a resurgence in homebuying activity. For context, an index score of 100 represents the contract activity level of 2001, a historically strong year for real estate.

Lawrence Yun, NAR Chief Economist, noted:
"Homebuying momentum is building after nearly two years of suppressed home sales. Even with mortgage rates modestly rising despite the Federal Reserve's decision to cut the short-term interbank lending rate in September, continuous job additions and more housing inventory are bringing more consumers to the market."

Adding to the positive trend, SentriLock lockbox openings—a measure of buyer activity—rose 7% in October compared to last year.

Regional Breakdown: Northeast Leads the Way

Here’s a closer look at the performance by region:

• Northeast: The PHSI surged 4.7% month-over-month to 68.7, marking a 7.2% increase from October 2023.
• Midwest: Contract signings climbed 4.0% to 77.8, up 1.8% year-over-year.
• South: The index edged up 0.9% to 90.0, a 2.5% annual gain.
• West: While showing only a 0.2% monthly increase to 64.1, the region recorded the strongest annual growth at 16.8%.

Yun highlighted the significance of these gains, especially in the Northeast and West, noting:
"It's encouraging to see contract signings increasing in all major regions of the country. More notable gains from a year ago occurred in the expensive regions of the Northeast and West. The record-high stock market is providing a boost for upper-end home buyers."

The latest report from the National Association of REALTORS® (NAR) shows encouraging signs for the U.S. housing market, with existing-home sales gaining momentum in October. This growth is reflected in all four major U.S. regions, though the Northeast remained steady year-over-year.

Key Highlights for October 2024:

• Sales Growth:
  Existing-home sales, including single-family homes, townhomes, condos, and co-ops, rose 3.4% from September to an annualized rate of 3.96 million. Year-over-year, sales increased by 2.9%.
  NAR Chief Economist Lawrence Yun noted, “The worst of the downturn in home sales could be over, with increasing inventory leading to more transactions. Additional job gains and economic growth appear assured, fueling housing demand. Mortgage rates, while elevated, are expected to stabilize.”

• Inventory Trends:
  Total housing inventory climbed to 1.37 million units, a 0.7% increase from September and a significant 19.1% rise compared to a year ago. Despite this growth, unsold inventory now sits at a 4.2-month supply, slightly lower than September but up from 3.6 months in October 2023.

• Home Prices:
  The median price for existing homes reached $407,200, a 4% increase from October 2023. All four regions experienced price growth, continuing to bolster homeowners’ wealth nationwide.

Regional Performance: Northeast Holds Steady

While other regions reported year-over-year sales increases, the Northeast remained unchanged at an annualized rate of 470,000. Prices in the region surged 7.6% from the previous year, with a median home price of $472,900.

Calgary, November 1, 2024 — The National Association of Realtors® (NAR), through its strategic investment arm, Second Century Ventures (SCV), has selected eight high-potential companies for the 2025 REACH Canada program. These firms, each innovating within distinct market segments, offer cutting-edge productivity and efficiency solutions aimed at real estate professionals while tackling broader housing and community challenges. The announcement marks an exciting advancement in technology-driven real estate services with a global reach.

Innovation and Impact in Real Estate “The vision for REACH and Second Century Ventures has remained crystal clear: to empower industry innovators to work hand in hand with agents and brokers, enhancing services that support seamless operations, secure transactions, and pathways to new opportunities,” said Dave Garland, SCV’s managing partner. This focus on fostering tech-based solutions in real estate highlights SCV's commitment to adaptability, efficiency, and security, enabling real estate professionals to better meet evolving client demands in a dynamic market.

As the most active venture fund globally in real estate technology, SCV has invested in over 280 companies worldwide. Operating in seven major markets—including Canada, the U.S., the UK, Australia, and Israel—the REACH program scales promising companies by providing mentorship, resources, and exclusive networking opportunities tailored for the real estate sector.