Pending home sales are going down very early in the year for the first time in a few years, but not because of lack of buyers, but because of lack of inventory. Not as many people are selling their homes than there are buying homes. Homes sales are going down in every region at a national average of 3.3%. This, again could be fixed with more inventory.
This chart shows the Distressed Property sales throughout the last five years. As you can see, it has been dramatically dropping down to as much as 5%. This effects home prices by bringing them up. The lack in inventory is being made up in home prices going up. Prices are going up at an average of 6% across the nation. According to the association of realtors, in most of the country the seller traffic is weak, and only a small amount of states have moderate traffic.
As you can see from this next example, buyer traffic in most regions is very heavy. The number of sellers and the number of buyers are effecting each other dramatically. There are many more buyers across the country than there is sellers which is effecting the market by raising prices of houses to compensate for the lack of inventory.