US: Pending home sales increase by 4.6% in January vs 0.4% expected

The National Association of Realtors on Wednesday reported that pending home sales in January rose by 4.6% to surpass the market expectation of 0.4%.

Key takeaways from the press release

Lawrence Yun, NAR chief economist:

"A change in Federal Reserve policy and the reopening of the government were very beneficial to the market."

“Homebuyers are now returning and taking advantage of lower interest rates, while a boost in inventory is also providing more choices for consumers.”

“Income is rising faster than home prices in many areas and mortgage rates look to remain steady. Furthermore, job creation will help lift home buying.”