This page has been archived and commenting is disabled.
Existing Home Sales Drop Most Since Jan; Biggest Miss Since Nov 2013
After 4 straight months of bounce-back exuberance that 'confirms' the hope that NAHB sentiment appears to present, existing home sales dropped 1.1% in August (against expectations of a 1.0% rise) and previous growth was revised lower. This is the biggest miss since November 2013. The South and West saw the biggest drops as inventory fell. First-time homebuyers remain sidelined with only 29% of total sales. The National Association of Realtors blames the drop on "investors stepping away from the market," and notes distressed sales are the lowest since October 2008.
The trend is at an end...
as reality is about to hit optimistic sentiment...
Charts: Bloomberg
»
- 6251 reads
- Printer-friendly version
- Send to friend
- advertisements -
But Marketcrotch told me gold was no good because of the recovering ecnomy.??
What kind of growth can a increase in part time jobs bring? Only full time jobs are of the type that build GDP, and that isn't happening...and appears wont happen.
It is just a soft patch. Did you hear that , it is a "SOFT PATCH" for gods sake. Everyone repeat after the NAR "Soft Patch".
Lots of thundershowers across the country last month
Private Equity has since stopped buying homes as their prices have clearly exceeded their true value vis a vis income levels. Everything is a trade, and there's a time to buy and a time to sell.
Look out below!!!!!!!!!!
Have no fear, Yellen is busy printing off some ads to post to zillow.
The savy consumer is just waiting to snap up houses for Christmas.
This is very bullish! Go team...Go!
My realtor called and said there has never been a better time to buy a house.
Well, there you go. I mean they're in the business, aren't they. So they would know. I'm sure it'll all work out just fine.
My broker called and said this is the best time to buy equities. Bet buy callled and said now is the time to buy a new flat screen and so on and on...............
My oracle called and said there has never been a better time to b.s. the masses !
But no worries... my realtor just told me that TODAY is the best day to buy a home! And they certainly know best!!!!!
A few moar Bullish signs like this and I'm going all in!
So the trend is at an end my friend?
Faulty Towers revisited.
average wage times 25% income housing 3 to 4 times income. It is price problem. Interest rates on mortgages are deductable... FED buying GSE debt just welfare for the insolvent banks. Can kicking 101.
Does anyone really take out a mortgage for a house JUST because interest (not rates) is deductable??? The only ones I hear making that arguement are Realtors... and 99% of them can't even do the simple math to show anyone how it really benefits them.
The interest deduction argument is such smoke n mirrors bs! Bottom line, you're tied to 360 monthly payments + taxes + insurance for the next 30 years. Oh, and all the maintenance and upgrades to keep up with the idiot jones.
Now, enjoy your "deduction" and shut it!
PROFIT = SELL PRICE - COST
Well, were do you put inflation? Is it a cost or are you doing IRS math and not counting it?
Inflation of what?
Inflation of costs or inflation of finished products?
Capital appreciation my boy.
Some call it profit, unless you are talking about a fixed asset in an inflationary environment. Did grandpa buy a house on 1948 for $7000? Sell it now. He has a cost basis of $7000 and will pay tax on the "profit". No worries my man that inflation as made he 1950 dollar >90% more. IRS don't care.
No cash, no home.
...."blames the drop on "investors stepping away from the market," .....translation..."Blackstone has stopped buying the inventory we have held off the market for them"....
"Here comes the rental economy!"
I'll offer....ONE DOLLAR!
Investors stepping away from the market"---So, the Chinese have stopped buying up Las Vegas ?
"realtors" (aka used crap salespeople) are still listing at levels that cannot be met with what people are earning. The disconnect is real. People's salaries have slowly or rapidly (depending on the individual scenario) been merged with the global competition while the housing is back priced at 2008 giddiness. Can't be uptick without a greater adjustment to housing prices.
Rates low, next step is to announce untaper of the taper.
Fed's only game now is to play with QE. Can't raise rates.
Are they investors or evil speculators? Make up your mind.
They're levered a billion to one...what do you think they are?????!!!!
(Flat broke comes to mind.)
Hmm. that's a hard question, Chuck, could I have more time for that one ?
Certainly true in my area. Many homes for sale and no movement. Aside from that, what is on the market is ridiculously priced (De-Nile?). Gravity (deflation) is going to be one painful lesson (until it isn't; and we ain't there yet). Sorry bitchez; turn off the TV (Flippers, Renovations, Million $ Listings, etc...) and don't believe what your friendly Realtor is telling you; they are one F'd and desperate group.
Say hello to Orlando!
The whole fucking housing division here is vacant. it looks like a neutron bomb hit. And when I wander into the Hardware Store for a quart of oil; the salesmen rush over to me and great me like a long lost brother. Green Shoots Everywhere !!
Love this. It means that 7 approved and yet unbuilt subdivisions in my neighborhood in the NE consisting of condos, townhouses and sfh consisting of close to 3000 units will not be developed anytime soon. Unless, of course, some builder wants to go broke. Land/lots aren't selling, either. It's a happy day for those who are trying to not live in suburbia and are fighting suburbia moving ever nearer.
If fewer folks can afford homes, does that mean there is less demand for Mexican lawn care labor?
Seriously, our economy sucks, yet our governement somehow wants to paint lipstick on the immigration pig. WTF?
Has Neil Degrasse-Tyson made any fabricated comments about this yet?
When the bankers get hung, make sure to hang a few of the chronic liars from the National Association of Realtors next to them.
We are going to need moar lamp posts.