Signed home contracts up 10.4% in October
A sold sign stands outside a house in Mayfield Heights, Ohio. The National Association of Realtors reported that signed contracts on homes rose 10.4 percent in October. (Oct. 26, 2010) Credit: AP
WASHINGTON - The number of people who signed contracts to buy homes jumped in October, marking the third gain since contract signings hit a low in June.
The National Association of Realtors says its index of sales agreements for previously occupied homes jumped 10.4 percent in October. Contract signings were up in every region of the country except the West.
Economists had forecast that contract signings would decline, given the numerous problems facing the housing industry.
In other housing news, rates on fixed mortgages edged up again this week after hitting their lowest level in decades last month.
Freddie Mac says the average rate for 30-year fixed loans rose to 4.46 percent from 4.40 percent last week. Three weeks ago, the rate hit 4.17 percent, the lowest level on records dating back to 1971.
The 15-year loan also rose, to 3.81 percent from 3.77 percent. It hit its lowest point since the survey began in 1991 a month ago, when rates fell to 3.57 percent.
Mortgage rates are rising because a string of positive economic data drew investors away from the safety of Treasury bonds. That pushed the yield on Treasurys up and mortgage rates tend to track those yields.
