Add to the reasons industry observers fret about U.S. residential real estate in 2016, a neurotic disorder that might be termed a "comp complex." Wherein, comparing achievement, year-on-year with 2015's strong performance, this year may fail to measure up.
Wall Street Journal staffer Anna Louie Sussman posts up the National Association of Realtors' release of pending home sales--a forward indicator of resale home transaction activity--which missed expectations this month, stirring worries. Sussman writes:
The drop surprised analysts. Economists surveyed by The Wall Street Journal had predicted a 0.5% increase in January’s sales. December’s reading was revised up to 108.7 from an initial reading of 106.8.
For more perspective on the pending home sales release, check out Calculated Risk's Bill McBride on the topic here, and National Association of Home Builders economist Stephen Melman's commentary here.