"The spring home buying season looks bright because of an elevated level of contract offers so far this year. If activity is sustained near present levels, existing-home sales will see their best performance in five years," said Lawrence Yun, NAR's chief economist.
By region, pending home sales rose 6.5%% in the Midwest, but dropped 3.0% in the South, 2.6% in the West and 0.6% in the Northeast.
An index reading of 100 is equal to the average level of contract activity during 2001. A sale is listed as pending when the contract has been signed but the transaction has not closed. Not all contracts lead to closings.