Existing Home Sales Record Another Big Gain
November 24th, 2009 categories: Real Estate News
Today the National Association of Realtors released the news that existing home sales recorded another huge gain and that inventories continue to shrink. I can attest to that! The last 3 months have been crazy and the reason I have not updated my blog in 3 months!
Many would agree that the tax credit deadline that was originally scheduled for November 30, 2009 created the sharp increase. Now that the tax credit has been extended, we may see a drop for the month of December – historically a slower month anyway.
The tax credit is not the only reason for the spike in sales. Historically low interests rates are motivating buyers to purchase. Mortgage interest rates last month were the 3rd lowest dating back to 1971.
According to Lawrence Yun, NAR Chief Economist, “The supply of homes on the market is now at the lowest level in over two-and-a half years – we’re getting closer to a general balance between buyers and sellers.” The last time the relative housing inventory was this low was in February 2007 when it also was at a 7.0-month supply.“The supply of homes on the market is now at the lowest level in over two-and-a half years – we’re getting closer to a general balance between buyers and sellers,” Yun said. The last time the relative housing inventory was this low was in February 2007 when it also was at a 7.0-month supply.
You can read the complete news release here. It is good information if you are thinking about buying or selling a home.
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