Mixed Up Housing Data...

Causes even more confusion and speculation. The National Association of Realtors reported that home resales last month rose 3.1% to an annual rate of five million units. It was higher than expectations which under normal circumstances would be a good thing. But, as we have seen time and time again, bad news is never too far from good news. While home resales increased, it came at a steep price, or rather, a steeply declining price. The median home price decreased another 7.1% to $212,400 from a year earlier and the number of homes on sale increased to a record-high of 4.67 million. My interpretation: there is still a whole lotta supply out there and more homes may be put up for sale, but I think we are finally seeing some buying activity. For months, prices kept declining and buyers kept staying away. But I don’t have a crystal ball anymore (I had to pawn it!) so I won’t even try to predict a bottom for housing.