The Ohio Association of Realtors reports that the number of single-family homes and condominiums put under agreement dropped sharply in January, partly due to weather conditions hindering potential home buyers.
“It’s become evident over the past few months that activity in Ohio’s housing market is becoming more balanced following a two-and-a-half year stretch of unprecedented sales growth,” said OAR President Chris Hall. “However, January’s frigid temperatures and substantial snowfall undoubtedly kept many would-be buyers from house hunting.”
Ohio’s January Pending Home Sales Index of 112.8, a forward-looking indicator based on contract signings, fell 8.2 percent from January of last year (122.9) and 8.4 percent from last month (123.1). The Index is at its lowest level since the 101.9 score reached in January 2012.
Compared to 2008, a historically healthy market that marked the end of five consecutive record years for existing home sales and the onset of the recession, January’s Index score of 112.8 marks a 12.8 increase.
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 state wide 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.