Housing sales are slowing courtesy of the forelcosure problems.
CNBC’s Diana Olick has the news:
The Pending Homes Sales Index fell 1.8 per cent in September. This index is based on contracts signed, not closings, so it would be the first indicator of the foreclosure scandal’s impact on potential buyers.
“Existing-home sales have shown some improvement but the foreclosure moratorium is likely to cause some disruption and contribute to an uneven sales performance in the months ahead,” writes NAR chief economist Lawrence Yun in the release. “Tight credit and appraisals coming in below a negotiated price continue to constrain the market,” he adds, despite what he sees as pent-up demand.