New Home Sales Plummet 13% To 284,000 Annualized Rate, 19K Actual Homes Sold Lowest Monthly Ever

Tyler Durden's picture

Your rating: None

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Thu, 02/24/2011 - 11:17 | 992867 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

The roof.....

Thu, 02/24/2011 - 11:22 | 992907 swmnguy
swmnguy's picture

C'mon Party People...

Thu, 02/24/2011 - 11:33 | 992992 Sleepy Weasal
Sleepy Weasal's picture

Welcome to the Recovery...

Thu, 02/24/2011 - 11:49 | 993087 StychoKiller
StychoKiller's picture

This is not my beautiful house!

Thu, 02/24/2011 - 11:50 | 993090 Harmonious_Diss...
Harmonious_Dissonance's picture

I feel this may be bullish for equities.

Thu, 02/24/2011 - 11:58 | 993136 Thomas
Thomas's picture

It was the snow; keeps the buyers subdued.

Thu, 02/24/2011 - 12:05 | 993190 Ham Wallet
Ham Wallet's picture

Lol.  "Winning the future" doesn't jive with snowfall.

Thu, 02/24/2011 - 12:28 | 993364 hardcleareye
hardcleareye's picture

I'm an ordinary guy

Burning down the house

Hold tight wait till the party's over

Hold tight We're in for nasty weather

There has got to be a way

Burning down the house

Here's your ticket pack your bag:

time for jumpin' overboard

Fightin' fire with fire


Thu, 02/24/2011 - 15:55 | 994335 flacorps
flacorps's picture

While we're quoting David Byrne

this ain't no party

this ain't no disco

this ain't no foolin' around

this ain't no mud club, or cbgb

I ain't got time for that now

heard about houston

heard about detroit

heard about pittsburgh, pa

you ought to know not to stand by the window

somebody see you up there

Thu, 02/24/2011 - 18:18 | 994943 andybev01
andybev01's picture

Qu'est-ce que c'est
fa fa fa fa fa fa fa fa fa far better
Run run run run run run run away

Thu, 02/24/2011 - 11:24 | 992916 Ragnarok
Ragnarok's picture

We don't need no water.....

Thu, 02/24/2011 - 11:27 | 992936 snowball777
snowball777's picture

The roof...

Thu, 02/24/2011 - 11:29 | 992956 AbandonShip
AbandonShip's picture

Burn mother-ucker, BURN!

Actually I'm getting ready to buy a house these days.  Bad idea?

Thu, 02/24/2011 - 11:31 | 992970 snowball777
snowball777's picture

Very. 15-30% dip coming over the next couple years depending on your locale.


Thu, 02/24/2011 - 11:49 | 993084 MachoMan
MachoMan's picture

My locale has been and is still adding jobs despite the rest of the economy...  as a result, our  housing prices have been pretty stable on the low end...  anything getting close to $200k is going to sit on the market for a while unless at a significant discount...  I'm up about 20% in the value of the home since I purchased in 08...  and imma dump it come spring...  actually hoping to see if I can rent a house in the same neighborhood...  would be an easy move and my entire neighborhood is nothing but cops, firemen, and teachers...  and on the outskirts of town...  and there is plenty of adjacent crop land...  I'm thinking neighborhood security is not going to be an issue... 

Thu, 02/24/2011 - 12:50 | 993485 gaoptimize
gaoptimize's picture

You may want to rethink that security assumption when those dependent on Government checks stop getting them.  You may want to suggest that they start prepping, rather than ending up with a bunch of neighbors that are capable of going on the offensive to meet their needs.

Thu, 02/24/2011 - 14:21 | 993887 MachoMan
MachoMan's picture

The blue and red welfare queens are among the last to get the pink slip...  Given that few are lucky enough to have jobs, I'm not sure what your point is...  aside from the fact that poor and rich alike all own firearms to the teeth in this country...  all of my neighbors are capable of aggression...  and I'm not sure that eating doughnuts and tazing the elderly is really much practice for war...  I've put as many lead projectiles down range as they have...  and, if some semblance of the court system is still around, I have no problems marching to get the court involved in stopping them...  as a member of the bar.

I have little or no faith in my security...  but, I think all things considered, my neighborhood is better suited than most...  not that it's saying much...

Thu, 02/24/2011 - 11:53 | 993105 csmith
csmith's picture

Just heard about a close on a S Fla property ~$1mm where the SELLER had to write a check for $175K...this is life in the resi real estate market today.

IOW, there are very real reasons nothing is moving and the banks aren't lending.

Thu, 02/24/2011 - 14:44 | 993982 TruthInSunshine
TruthInSunshine's picture

I advised someone against buying a home in a very exclusive area of Florida just two weeks ago (they had asked my opinion).

Anyways, they purchased a property for $368,000 that had last sold for $1,14x,xxx (something), and no, there were no structural, drywall (Chinese), mold or other issues with the home.

They purchased it as an investment property, and their big problem now will be a) the property taxes, b) HOA fees, c) Lack of availability of hurricane insurance, d) the coming outright collapse of whatever is left of a property market as credit completely goes by-by, and the market is forced to choke on all cash offers made by extremely shrewd and very tight-fisted investors (the kind that drive 10 year old cars with 200k miles on them, no matter how wealthy they are).

Fri, 02/25/2011 - 10:51 | 996786 MachoMan
MachoMan's picture

Mine is 14 years old, but only has ~150k miles...  I don't drive much...  I'm holding out until they get this whole oil thing sorted out.  Waiting on weak hands to dump choice properties on the market...

I've been trying to buy shitbird/low end real estate as well as foreclosures and tax sale properties...  there is a permanent bid under these damn things...  nowhere near the haircut there should be...  I can finally start to see the cd exchange (old folks dumping CDs for rental properties) and "cash on the sidelines" drying up...  and, as said before, I probably live in as good of area as any as far as the general economy goes (we had the lowest unemployment in the country through 09, not sure about now).

The other problem that most people don't understand is that it is going to take quite a bit of money to get your title issues worked out post purchase...  I have a core competancy in this department...  not sure about everyone else... 

Thu, 02/24/2011 - 15:58 | 994356 flacorps
flacorps's picture

I bought a townhome early in the boom where the seller had to write a check to get the deal done. That's how I like buying 'em. Buy on cancer, divorce, old age or some other major problem with the seller's life situation.

Thu, 02/24/2011 - 11:48 | 993085 jimijon
jimijon's picture

My strategy or timing, is to keep on building up my silver and gold ounces until the end of 2012. Then I will start looking at real estate. As much as I am tempted, I will be disciplined and wait. Of course you may have other needs or desires.

However, I think it will work out really well. I currently spend and pay bills in FRN and put ALL of my savings into PMs. Then I will trade those for real estate in 2013. 

The mayans of course are correct. However, it won't be the end but a new beginning. We will learn then that we are not alone and are part of a larger universe. Star children if you must. We will also learn of infinite abundance.

Thu, 02/24/2011 - 11:54 | 993117 Harmonious_Diss...
Harmonious_Dissonance's picture

I'm with you brother, PM's to real estate. Acreage!! 53% vacacnt land to give us the lowest number of housing sales ever, real unemployment at 23%, yes best wait...

Thu, 02/24/2011 - 14:27 | 993907 smlbizman
smlbizman's picture

if i may squeeze in here and i will try to be quick to the point, assuming most of you will fill in the blanks.

i live in balt. cnty..nice location close to everything.

major road put in connctng 95  to rt. 40 and 151...

built major sq. fttg. of industrial.. millions

some shopping, a green bank building that was occupied 3 mos. bye bye bradford..

less than 50% occupied..

i new housing project 3yrs old  capicity of 35 homes...4 are built and occupied..

they have just broke ground to double the size of the indust. park plus 450,000 st.johns

3 new home developments have broke ground around me, 1  600 ft down the road from the 4 house devlop.

others within 2 miles..

no financing signs on any of these sites...the lendor always proudly let the world know who was the financior.

than i hear that shortly the fed funds that are being used currently to finance these type of  improvements-{utilities, roads, housing etc. very liberal use of funds.}  are going to expire in a few months. than the light came on signs, private money can't be this stupid, ...

there is no demand for anything around total govt backing?    so i look forward to the future decay of my area, as the new empty houses can join the old empty houses and they both can take mine down with them...but if this is what i have to do to keep inflation down i will or is it deflation or is it...

Thu, 02/24/2011 - 11:57 | 993134 Cpl Hicks
Cpl Hicks's picture

What's the name on your ivory tower?

Thu, 02/24/2011 - 13:07 | 993579 stoverny
stoverny's picture

my house would have sold if it wasn't for that ice dam on the roof

Thu, 02/24/2011 - 11:19 | 992873 Arthor Bearing
Arthor Bearing's picture

Verdant fields of empty McMansions gazed upon by shivering tent-dwellers 

Thu, 02/24/2011 - 11:20 | 992880 Quintus
Quintus's picture

"....the US economy continues to prolapse."

Disturbing imagery, but accurate. :-)

Thu, 02/24/2011 - 11:21 | 992889 Coast Watcher
Coast Watcher's picture

My sister the real estate agent says she's seeing one or two sales a month in an area of midcoast Maine that used to see four or five closings a week. The number of active agents has dropped by more than half, and she's getting out herself, starting a seasonal home maintenance business instead.

Thu, 02/24/2011 - 11:20 | 992892 No One
No One's picture

Well of course, didn't anyone see all the snow in January?

Thu, 02/24/2011 - 11:25 | 992924 DonutBoy
DonutBoy's picture

Ha!  They have a position for you at NAR.

Thu, 02/24/2011 - 11:21 | 992893 tao400
tao400's picture

what does non anualized homes mean

Thu, 02/24/2011 - 11:26 | 992939 snowball777
snowball777's picture

You live there for one year.


Thu, 02/24/2011 - 11:21 | 992894 oh_bama
oh_bama's picture

You guys are too negative.

Now home sales lower is because the weather, and too much going on around mideast so people have to watch CNBC so they have no time shopping for houses!!

Thu, 02/24/2011 - 13:38 | 993731 mophead
mophead's picture

They're saving up for a down payment. Bullish!

Thu, 02/24/2011 - 13:38 | 993737 Problem Is
Problem Is's picture

Wow you could write teleprompter blurbs for Cue-Ball Steve Lies-man...

Thu, 02/24/2011 - 11:21 | 992898 Dr. Porkchop
Dr. Porkchop's picture

It's a sign of a continuing recovery! We'll find that bottom down there somewhere!

Thu, 02/24/2011 - 12:07 | 993203 Carl Spackler
Carl Spackler's picture

Like at zero.

Thu, 02/24/2011 - 11:21 | 992900 jtmo3
jtmo3's picture

No worries. We're still in the green and oil off the highs. 10yr yield down. It's an all out day it appears. Gotta keep the lid on.

Thu, 02/24/2011 - 11:24 | 992914 Azannoth
Azannoth's picture

I bet 90% of those sales where to government employees or union members it seems they are the only people with steady guaranteed income

Thu, 02/24/2011 - 12:16 | 993277 earnyermoney
earnyermoney's picture

Washington D.C. was the only city on the Case Shiller index that had flat to increasing prices this past month. Spot on with the government employee comment.

Thu, 02/24/2011 - 11:24 | 992919 treemagnet
treemagnet's picture

Well, it was snowing after all....

Thu, 02/24/2011 - 11:27 | 992944 snowball777
snowball777's picture

Fuck you guys <throws mic down, exits stage left >

Thu, 02/24/2011 - 11:26 | 992931 ElMoro
ElMoro's picture

It's time for Obama to come up with another brilliant plan to help the Home Buildiners, I mean the "American Families Looking to start their dream in a new home."

Thu, 02/24/2011 - 11:26 | 992937 Josh Randall
Josh Randall's picture

How can you afford a house with so much AAPL and AMZN to buy

Thu, 02/24/2011 - 11:30 | 992957 snowball777
snowball777's picture

When I want somethin' man

I don't wanna pay for it

It's just as simple as that

   - Jane's Addiction, Been Caught Stealin'

Thu, 02/24/2011 - 11:53 | 993106 Agent P
Agent P's picture


Thu, 02/24/2011 - 11:30 | 992974 Caviar Emptor
Caviar Emptor's picture

Bottom line: house prices are still more than the market can bear. 

There has been an epic slide in average incomes since the crisis, on top of high structural unemployment. And the cost of home ownership has been rising non-stop. Banks charge more and insurance companies too just to close the deal. And the new reality means that prospective buyers aren't credit worthy at these prices. Banks won't lend into a deflationary housing market. 

Thu, 02/24/2011 - 11:42 | 993056 Yikes
Yikes's picture

My wife is a top agent in Southeast Wisconsin and can confirm the dismal January.  However, February activity skyrocketed but the prices are continuing to go down significantly.  The low prices she's getting for her buyers are eye opening.  More like eye cringing.

Do NOT follow this link or you will be banned from the site!