Report: Home sales experience decline during January

According to a recent report from the National Association of Realtors, pending home sales decreased during January, the second straight month experiencing a decline. While the trend may concern Realtors, sales still remain a healthy 20.6 percent above the market's low point, seen last June.

The Pending Home Sales Index also declined 2.8 percent to 88.9 based on contracts signed in January. The index is down nearly 1.5 percent from the same month last year, when it registered 90.3. However, during that time, tax credit stimulus funds were aiding those in the market to move or seeking relocation.

"The housing market is healing with sales fluctuating at times, depending on the flow of distressed properties coming on the market," said Lawrence Yun, the NAR's chief economist.

Despite the declines, existing-home sales during January reached 5.36 million, which represents a pace higher than the figure the NAR had forecast for 2011. If the pace continues throughout the year, existing-home sales will be 8 percent higher than the previous year.

Further supporting the NAR's inital report, a report by the Massachusetts Associaton of Realtors states pending home sales for single-family homes in Massachusetts declined by 17.6 percent during February, compared to figures one year earlier. 

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