The Ohio Association of Realtors reported that the number of single-family homes and condominiums put under agreement in May rose for the 13th consecutive month compared to the results from the prior year.
“With each passing month, it’s becoming increasingly evident that Ohio’s housing marketplace is making significant strides in its attempt to recover from the downturn that decimated our nation’s economy four-plus years ago,” said OAR President Robert Miller. “The fact that we’ve been able to attain gains in the number of homes put under contract for 13 consecutive months is not only a noteworthy achievement, but it’s a clear indication that we’re making progress in our effort to establish a stable, sustainable and growing housing marketplace in the Buckeye State.”
Ohio’s May Pending Home Sales Index of 121.2, a forward-looking indicator based on contract signings, rose 19 percent from the May 2011 index of 101.8.
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 market. Our May 2012 pending sales index of 121.2 marks a 21.2 percent increase from the benchmark May 2008 index of 100. Additionally, the current results also best the PHSI marks posted in Ohio in 2009 (97.9) and 2010 (70.4).
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 more than 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.