According to a report by the National Association of Realtors, tight listing inventories are likely to constrain growth in 2013 home sales. The report also showed that pending sales dropped 4.3 percent from November to December.

Despite the month-to-month drop, existing homes under contract were up 6.9 percent from a year ago, making December the 20th month in a row to see an annual gain in pending sales.

NAR's Pending Home Sales Index, which represents existing-home contracts signed but not yet closed, rose to 106.3 in November before slipping to 101.7 last month. In April 2010, when the federal homebuyer tax credit was still in place, the index hit 111.3, but soon dipped back down.

An index score of 100 is equal to the average level of sales contract activity in 2001, the first year examined by the trade group and a year in which home sales fell in what's considered a normal range for the current U.S. population. Contracts signed in a month typically close one or two months later.

Although NAR is projecting that home sales will pick up by 9 percent in 2013, tight inventory, paired with near-record low new-home construction levels, is an obstacle to more rapid growth.

The month-to-month dip in the pending sales is not a "statistical fluke," Yun said, but signals a loss of momentum in home sales. The momentum, however, is inventory-related, he said -- demand is still high.

New homes, Yun said, are the solution to the inventory challenge. "True relief to the inventory has to come from new home construction."

For more information about homes for sale in The Woodlands, please call realtor Luis Tamborrel at (832) 482-9367.

Hablamos Español y tenemos información acerca de casas en venta en The Woodlands, sólo comuníquese al 55.4991.4933 o Nextel 72*13*9814 desde México.

Source: inman.com