Housing Market Is Looking Up!
It was announced that sales contracts for homes increased 2% in January, much more than the expected 1%. This leading indicator of an improving housing market is just one of the many signs that the housing market is getting away from bottom.
Buyers seem to be heading back towards real estate as unemployment shrinks to 8.3% and hiring is speeding up. While more jobs lead to more home purchases, there's also the fact that home prices and borrowing costs are at record lows right now. But with the market looking up, those lows may not remain low for too long. The demand for homes is increasing and two of four regions already saw an increase in pending home sales.
While the housing market has been a major weight on the improvement of the economy, that weight seems to have lightened so far in 2012.