A sale pending sign is posted in front of a home for sale in San Francisco.Justin Sullivan
Pending sales of existing U.S. homes surged to a 1-1/2 year high in November, an industry group said on Thursday, offering more signs of a tentative recovery in the housing market.
The National Association of Realtors' Pending Home Sales Index, based on contracts signed in November, increased 7.3 per cent to 100.1 -- the highest level since April 2010.
Economists polled by Reuters had expected pending sales to rise only 2 per cent. Pending sales lead existing home sales by a month or two.
Recent data on home sales and construction have been fairly upbeat, suggesting an improvement in the sector, but prices continue to trend lower.