California pending home sales were up 13.6 percent on an annual basis from the 114 index recorded in April 2014, marking the fifth straight month of year-to-year gains and the third straight month of double-digit advances. Statewide pending home sales dipped slightly in April, with the Pending Home Sales Index (PHSI)* decreasing 0.6 percent from a revised 130.2 in March to 129.4, based on signed contracts. The month-to-month decrease was below the average March-April gain of 1.7 percent observed in the last seven years.
C.A.R.’s pending sales information is generated from a survey of more than 70 associations of REALTORS® and MLSs throughout the state. Pending home sales are forward-looking indicators of future home sales activity, offering solid information on future changes in the direction of the market. A sale is listed as pending after a seller has accepted a sales contract on a property. The majority of pending home sales usually becomes closed sales transactions one to two months later. The year 2008 was used as the benchmark for the Pending Homes Sales Index. An index of 100 is equal to the average level of contract activity during 2008.