Posted in Real Estate Investing

June – a slow month for Home Sales

 (increasing mortgage rates) “…may have taken some of the steam out of the market.”

ScreenHunter_114 Jul. 23 07.07

After hitting a 3.5 year record high, home sales took a dip of 1.2% in sales to an annual rate of 5.08 million home sales in June.  According to Lawrence Yun, Chief Economist for the National Association of Realtors, increasing mortgage rates “may have taken some of the steam out of the market.”

Nonetheless, there is still a lot of demand in most US cities. The problem lies in the most expensive regions: Hawaii, California, and the New York City metro area:

“We’re still dealing with a large pent-up demand,” he said. “However, higher mortgage interest rates will bite into high-cost regions of California, Hawaii and the New York City metro area market,” says Yun.

Foreclosures and short sales have taken a back seat in the market, accounting for 15% of existing home sales. With these distressed sales clearing the market, home sellers can expect a greater return on their properties as the median home price has increased 13.5% since June, 2012 – a consecutive gain in median home prices for 16 months!

If you are thinking of selling, there is a lot of demand for what buyers consider “good” homes and the conditions (demand) is continually improving, aside from the interest rate increase. But seriously, were we thinking that they’d actually stay that insanely low forever? Seriously? 

Source: Money.CNN.com

http://money.cnn.com/2013/07/22/real_estate/home-sales/index.html?section=money_realestate&

Author:

John W. Tanner became a published author in 1994 with a poem titled “Above the Sea.” In 2012, he wrote and self-published a modern fiction novella entitled “Faithfully” and has since published four other fiction and nonfiction works on Amazon's CreateSpace and Kindle Direct Publishing, including his recent publication titled “Entrefluential Networking in Real Estate” (available at https://www.amazon.com/dp/B086VFV4SN), a self-help textbook on advanced real estate marketing and brand development strategies. John holds a Juris Doctor degree from Florida Coastal School of Law, a Master of Science from Florida International University, a Bachelor of Science, with concentrations in literature and computer science, from Excelsior College, an Associate in Arts from Miami Dade College and has extensive experience in the fields of real estate appraisal, mortgage finance, and sales. He is the Broker-Owner of Coleman Tanner Realty in Florida, as well as the Executive Director and Chief Legal Officer of REX Cinema Productions.

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