Pending sales of homes in Lancaster County soared 27.1 percent in October, a new report says.

Pending sales numbered 413 last month, up from 325 in October 2011, according to the Lancaster County Association of Realtors.

With the October figure, pending sales here have increased for 13 consecutive months.

The tally also marked the highest October pending sales since October 2006.

The sales figure then — a whopping 485 — came as the housing market was in the midst of a prolonged boom.

"We're on a good roll. ... On all fronts, the market has been pretty strong," said LCAR president Quentin Miller.

Miller is happy to see the market get healthier and more stable, without the huge sales volumes and price increases of the boom.

"It's not like 2005 or 2006. And we don't want to go back to those markets," he said Wednesday.

Rather, Miller views the current upturn as the combination of several positive forces.

Pent-up demand that accumulated during the recession and its immediate aftermath "is starting to come out," he said.

One reason is that mortgage rates are staying low, making it "an incredible time to buy."

Another is that consumer confidence is picking up, making potential buyers feel comfortable about investing in a home.

"The conditions are right. In this 'new normal' that everybody is talking about, people in general are buying things," Miller said.

The LCAR report shows that the upturn was broad-based, as all five price categories posted gains.

For homes priced up to $100,000, pending sales rose 3.7 percent to 56 homes.

In the biggest category, homes priced from $100,001 to $200,000, the increase was 21.5 percent to 209 homes.

Homes priced from $200,001 to $300,000 saw a 60.3 percent upturn in pending sales, to 101 homes.

For homes priced from $300,001 to $400,000, pending sales grew 45.5 percent to 32 homes.

Pending sales of homes priced at $400,001 and up posted 7.1 percent growth, to 15 homes.

Pending sales, which refer to homes placed under a sales contract, are considered the most timely indicator of market activity.

Most pending sales are finalized at settlement in 30 to 60 days.

Settled sales in October showed a similar increase as pending sales, the LCAR report shows, rising 25.3 percent.

There were 386 homes sold here last month, up from 308 in October 2011.

The October upturn marked the 10th consecutive monthly increase in settled sales, said LCAR.

Like pending sales and settled sales, prices improved in October, too, but by a much smaller margin.

The average sales price last month was $187,700, up 7.7 percent from a year earlier.

Measured another way, the median price was $175,000, up 7.4 percent from a year earlier.

With the median price, half of the properties sold for more and half sold for less.
tmekeel@lnpnews.com