Thursday, September 2, 2010

July Sales Inch Up

Pending home sales were up 5.2% in July based on a report by the National Association of Realtors as reported by Inman news today.  May and June had record lows following the end of the federal homebuyer tax credit.

"Home sales will remain soft in the months ahead, but improved affordability conditions should help with a recovery," said Lawrence Yun, NAR's chief economist, in a statement. "But the recovery looks to be a long process. For those who bought at or near the peak several years ago, particularly in markets experiencing big bubbles, it may take over a decade to fully recover lost equity."

The July rebound “points to some stabilization in existing home sales at very low levels in August,” Yelena Shulyatyeva, an economist at BNP Paribas in New York, said in an e-mail. “The housing market outlook remains highly uncertain in light of mounting inventories from foreclosed and vacant properties”, according to Bloomberg news.