By Joshua Kirby

The number of houses going under contract didn't change in November from the previous month, but falling mortgage rates point to an improved market in 2024. Here are the main takeaways from the National Association of Realtors' report released Thursday:

--The Pending Homes Sales Index, a leading indicator of home sales based on contract signings, didn't move in November, staying at 71.6. A reading of 100 is equal to the level of contract activity in 2001.

--October's indicator was revised upward slightly to a less steep fall at 71.6.

--Economists polled by The Wall Street Journal had expected the index to rise by 1.0% in November.

--In November, declining mortgage rates didn't yet lead to a surge in contract signings, but did spark major interest in home-buying, said Lawrence Yun, NAR's chief economist. "Home sales will improve in 2024," Yun said, noting that mortgage rates fell further in December, boosting household savings.

--Three of four regions booked increased pending home sales, with the indicators for the Northeast, the Midwest and the West all climbing. The South's index dropped, conversely.

Write to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby

(END) Dow Jones Newswires

December 28, 2023 10:14 ET (15:14 GMT)