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Pending Home Sales Index Rises Again In June (AP)


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2009 Aug 4, 12:38am   3,504 views  14 comments

by WillyWanker   ➕follow (0)   💰tip ()  

"WASHINGTON – Pending U.S. home sales rose in June for the fifth straight month, another encouraging sign of life for the embattled U.S. housing market, the National Association of Realtors reported Tuesday.

For June, the Realtors group said its pending home sales index rose 3.6 percent to 94.6, from an upwardly revised reading of 91.3 in May. The last time there were five consecutive monthly gains was July 2003.

The results were far better than analysts expected. Economists surveyed by Thomson Reuters expected the index to come in at 91.2.

The report tracks signed contracts to purchase previously owned homes and is considered a barometer for future home sales. Typically there is a one- to two- month lag between a sales contract and a completed deal.

The jump in pending home sales coincides with other positive trends in the residential real estate market."

Read more here:

http://news.yahoo.com/s/ap/20090804/ap_on_bi_ge/us_pending_home_sales

More good news for the economy!  Of course this could just be a seasonal blip, but we shall have to wait to find out if that is the case.

#housing

Comments 1 - 14 of 14   

1   ch_tah2   2009 Aug 4, 1:17am  

Interesting thread...one ass talking to another about asses. And you wonder why people don't give you much credit.

2   pinnacle   2009 Aug 4, 1:54am  

There have been thousands of buyers wanting to buy for months but the banks would not give them a mortgage. Now the banks decide to goose the market by letting a few more people get mortgages again.
Both the supply and actual buying power on the demand side are being controlled by the banks at all times so how can these numbers be seen as an indicator of "free market" activity?
We are also hearing that "prices are up" but no areas have gone up by an average of 8,000 dollars which is the amount of tax refund now being given out so that would indicate an actual DROP in prices.

3   d3   2009 Aug 4, 2:17am  

pinnacle says

We are also hearing that “prices are up” but no areas have gone up by an average of 8,000 dollars which is the amount of tax refund now being given out so that would indicate an actual DROP in prices.

What do you mean?
1. The goverment was offering money for people buyin for over a year, I fail to see how that is the only factor for the recent increase.
2. Do you have any proof that no areas have gone up by more then $8k since the the recent uptick in prices or are you just making stuff up?

4   justme   2009 Aug 4, 2:40am  

Willy is doing his "planted propaganda story of the day" again, complete with selective and misleading quotes.

Here's what Calculated Risk had to say about this:

"The increase in pending sales has been mostly from lower priced homes with demand from first time home buyers (taking advantage of the tax credit) and investors. As Yun notes, the demand from first time buyers will probably fade in another month or two."

http://www.calculatedriskblog.com/2009/08/pending-home-sales-index-increases-in.html

5   justme   2009 Aug 4, 2:42am  

I would not mind at all if no-one except approved moderators would be allowed to create more than one thread per week. Even that frequency of thread creation may be too much in certain cases.

6   Patrick   2009 Aug 4, 2:49am  

OK, I see your point. Please also email directly with forum ideas:p@patrick.net

But even if someone is creating new threads, without new comments they will not rise to the top of the forum lists.

7   justme   2009 Aug 4, 6:47am  

If one submits a "point of view" which is little more than unfounded speculation or wishful thinking, do not be surprised that people disagree.

A "point of view" is not a valid substitute for proper analysis.

8   WillyWanker   2009 Aug 4, 9:45am  

camping says

Interesting thread…one ass talking to another about asses. And you wonder why people don’t give you much credit.

I'm sure you know all about asses, campy.

9   WillyWanker   2009 Aug 4, 9:49am  

justme says

If one submits a “point of view” which is little more than unfounded speculation or wishful thinking, do not be surprised that people disagree.
A “point of view” is not a valid substitute for proper analysis.

justme says

If one submits a “point of view” which is little more than unfounded speculation or wishful thinking, do not be surprised that people disagree.
A “point of view” is not a valid substitute for proper analysis.

justmoi, I have no desire to agree with you. If you fail to agree with me, tant pis.

10   WillyWanker   2009 Aug 5, 1:51pm  

nowhere but up from here says

justme says

which is little more than unfounded speculation or wishful thinking, P>

Now who’s calling the kettle black……HAHAHAHAHAHHAHAH

Careful, it's politically incorrect to refer to ANYTHING as 'black' around here. The 'pc' police will call you a 'racist' in no time flat.

11   WillyWanker   2009 Aug 6, 2:44am  

I've notice that the most 'politically correct' around here are the racist assholes. Protesting too much et al.

12   pinnacle   2009 Aug 6, 7:49am  

The biggest price increases only averaged about 5000 dollars according to Dr. Housing Bubble.
So 8000 in tax money means the buyer paid 3000 less than they otherwise would have.
Los Angeles area actually went down by about 400 dollars, which translates to an 8400 doallar
"real" price drop.
Since all of these "sales" are taking place in an enviroment distorted by both tax incentives and
manipulation of inventory it's hard see why any of it should be taken seriously.
I am still seeing a lot properties being put back on the market that had been previously counted as
"sale pending" and a lot have price decreases.

13   pinnacle   2009 Aug 6, 8:15am  

The Federal Home Price Index was increased by .9 percent which means that on any home less than
888,000 dollars in price the "increase" was less than the 8000 dollar tax rebate and therefore is not really an increase at all.
Sale pending numbers are readjusted months later when many sales fall though and the same houses are back on the market again. Out of 50 "sales" I was following 17 have been put back on the market again in the past month. Of those 6 have had the price reduced.
The next Federal Home Price Report is due on August 25 and it should provide some more up to date information.

14   pinnacle   2009 Aug 6, 9:57am  

The biggest average price "increase" was 5800 dollars in the San Francisco area, but again that
is 2200 dollars less than the tax rebate so is in reality a price DECREASE.
Boston was second highest with 4625 dollar average "increase".
I know the government offered 15,000 dollar tax credits last year but banks were shutting down credit at that time so very few people could take advantage of it. That does not change the fact that the current
increases are not equal to the current 8000 dollar incentive.
Most properties sold were well under 500,000 dollars in price so the "increase" would be far smaller than the tax rebate.
This was all based on Case Shiller data so I don't see how anybody can claim it is being "made up".

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