Quantcast
Connect with us

US existing home sales bounce as mortgage rates fall

Published

on

US sales of existing homes bounced in July, recovering from weakness in the prior month, boosted by lower mortgage rates, according to data released Wednesday.

Prices remained high, but receded somewhat from June’s record.

Sales slid in the Northeast, but grew in the other three regions, especially the western United States, according to the National Association of Realtors,

ADVERTISEMENT

Sales of all types of homes rose 2.5 percent from June to an annual rate of 5.42 million in July, slightly above analyst expectations, NAR said in its monthly report.

The result put the sales pace 0.6 percent above July of last year.

However, NAR reiterated its concern about the limited supply of affordable housing.

“Falling mortgage rates are improving housing affordability and nudging buyers into the market,” said NAR Chief Economist Lawrence Yun.

However, he said, “The shortage of lower-priced homes have markedly pushed up home prices.”

ADVERTISEMENT

The report cited data from mortgage lender Freddie Mac showing the average 30-year fixed rate mortgage at 3.77 percent in July, down from 3.80 percent in June and 4.54 percent throughout 2018.

The median home prices rose to $280,800, up 4.3 percent from the year-ago period, but a bit below the $285,700 all-time record set last month.

NAR said price appreciation was greatest among the lower-priced tier of homes in metropolitan areas such as Atlanta, Denver, Miami and Tampa.

ADVERTISEMENT

Total housing inventory decreased at the end of July to 1,89 million, down from 1.92 million in July.

Homebuilders have complained that the short supply of workers is hindering construction.

ADVERTISEMENT

Analysts at RDQ Economics said the housing market should strengthen in the second half of 2019 in light of lower mortgage rates amid expectations that the Federal Reserve will cut interest rates further.

“The decline in mortgage rates appears to have arrested the decline in existing home sales and now appears to be fueling a moderate recovery in housing activity,” RDQ said in a note.

“Price gains continue to run well-ahead of inflation and the supply of homes for sale remains tight.”

ADVERTISEMENT


Report typos and corrections to: [email protected].
READ COMMENTS - JOIN THE DISCUSSION
Continue Reading

Breaking Banner

‘People’s lives will be lost’: Psychiatrist warns ‘sociopath’ Trump is ‘getting worse’ — and failing in coronavirus response

Published

on

President Donald Trump's psychological problems are getting worse and could be consequential as America faces a potential COVID-19 coronavirus pandemic.

MSNBC's Lawrence O'Donnell on Thursday interviewed Dr. Lance Dodes, a former assistant clinical professor of psychiatry at Harvard Medical School.

"As you pointed out, Lawrence, this man is about himself. He really is not about the country, he's not about public health," Dr. Dodes said of Trump.

"Although he has already severely damaged the country by being a psychopath or sociopath -- in many ways, he's damaged democracy -- I think people's lives will be lost now," he warned. "Individual lives will be lost because of the way he's mishandling the coronavirus issue."

Continue Reading

2020 Election

‘Something really rotten’: Here’s the evidence of extensive voter suppression in Georgia’s notorious 2018 election

Published

on

As the 2020 presidential campaign cycle grinds on, there’s renewed concern about the 21st century’s newest form of warfare: cyber-sabotage of government systems, including elections and online disinformation intended to incite unrest. But as Suppressed: The Fight to Vote, a documentary from Brave New Films, makes clear, partisan voter suppression tactics with 20th-century roots remain and can thwart multitudes of voters from changing their state’s political leaders.

Continue Reading
 

Breaking Banner

The real story behind Trump’s new lawsuit against the New York Times

Published

on

Wednesday was an ominous day for freedom of the press in this country, and I want to tell you why.

You may have heard or seen that President Trump filed a libel suit against the New York Times. Perhaps you weren’t surprised: the president is known to frequently disparage the Times even as he reads it obsessively. Borrowing a page from what I’ve referred to before as a Mount Rushmore of totalitarians, Robespierre, Hitler, Stalin and Mao, Trump loves to call the press the “enemy of the people.”

Continue Reading
 
 
close-image