The Ohio Association of REALTORS reports that the number of single-family homes and condominiums put under agreement in June rose for the 26th consecutive month compared to the results from the prior year.
“The increase in the number of homes put into contract in June is another important step forward in Ohio’s ongoing effort to establish a solid, stable housing marketplace,” said OAR President Thomas J. Williams.
“Everyone has been taking notice of the improved real estate market,” said Mike DeAnna, Broker and Owner at Ohio Family Realty. ” Currently the market is being driven by two things: pent-up demand and move-up buyers. We’ve had pent-up demand in the past because people had been nervous about their job outlook. When you couple this pent-up demand with move-up buyers who are successfully selling their old house we have a very strong summer real estate market.”
“It’s becoming evident, with each passing month, that buyers are gaining confidence in the market and an appreciation that home ownership is a wise long-term investment,” added Williams.
Ohio’s June Pending Home Sales Index of 137.9, a forward-looking indicator based on contract signings, rose 13.4 percent from the June 2012 index score of 121.6.
An index of 100 is equal to the average level of contract activity during 2008, which marked the end of five consecutive record years for existing home sales and the onset of the recession. Activity levels in 2008 are reflective of a historically healthy, balanced market. Our June 2013 pending sales index of 137.9 marks a 37.9 percent increase from the benchmark June 2008 index of 100. Additionally, the current results also best the PHSI marks posted during the month in Ohio in 2009 (97.9), 2010 (77.2) and in 2011 (104.4).
A pending sale or a sale “under agreement” is when the buyer and seller agree on terms of the sale of a home and have a signed purchase and sale agreement, but have yet to close and be recorded as such.
OAR, the largest professional trade association in the state with 26,000 members, is the only organization that compiles this statewide information from selected Multiple Listing Services each month. The tracking of “pending sales” provides reliable information about where the market is heading in coming months.