by Calculated Risk on 12/10/2007 10:17:00 AM

The National Association of Realtors (NAR) released the Pending Home Sales index (PHSI) for October and an updated forecast this morning.

From NAR: Existing-Home Sales to Trend Up in 2008

The Pending Home Sales Index,* a forward-looking indicator based on contracts signed in October, increased 0.6 percent to an index of 87.2 from an upwardly revised reading of 86.7 in September. It was the second consecutive monthly gain, but remained 18.4 percent below the October 2006 index of 106.8.

So the PHSI suggests seasonally adjusted sales will up slightly in November / December at around 5 million (Seasonally Adjusted Annual Rate SAAR). The PHSI leads existing sales by about 45 days.

And the NAR forecast for 2007:

Existing-home sales are likely to total 5.67 million this year ...