Real Estate

U.S. pending home sales, a measure of contract signings on existing homes, gained momentum in February as some buyers raced ahead of climbing mortgage rates, Yahoo Finance reported. After dipping in January, the index for pending home sales rose 1.6% in February, according to data from the National Association of Realtors (NAR). The reading of 75.6 was the lowest for the month since NAR first began tracking the data in 2001. A reading under 100 indicates a weaker pace of pending contracts. The figure came in above the Bloomberg consensus of a 1.5% increase. Still, year-over-year contract signings were down 7%, the NAR found. The uptick in the index showed signs that buyers are coming to terms with elevated rates. A modest bump in new listings may have played a role in attracting buyers, as well as a sense of urgency to race against climbing rates. Challenges in inventory also remain a point of concern going into the spring. Pending home sales, which tend to lead existing home sales by a month or two, are still lagging in the most expensive regions of the country — a theme that may persist this spring.