Blood In The Streets? Storm-Savaged September Sees Home Sales Surge

Tyler Durden's picture

Tumbling starts and permits data, and dismal new, pending, and existing home sales in August urged a rebound in September and existing home sales (amid massive storms) somehow managed to surge 0.7% MoM (smashing expectations of a 0.9% tumble).

  • Sales in the South remain low, likely due to effects of Hurricane Harvey and Irma.
  • Inventories continue to constrain the pace of existing home sales.
  • The supply of homes for sale rose 0.7% MOM but were down 1.7% YOY.

Trend reversal?

The 0.7% rise in September was driven by single-family homes rising 1.1% as rental unit sales dropped 1.6%.

Median sales price increased 4.2% YoY to $245,100.

However, it's not all shits ands giggles... Exisitng home sales dropped 1.5% YoY - the first decline since July 2016...

 

The South did see a 0.9% MoM decline in sales after a 5.7% plunge in August (as The West surged 3.3%)

September existing-home sales in the Northeast were at an annual rate of 720,000 (unchanged from August), and are now 1.4 percent below a year ago. The median price in the Northeast was $274,100, which is 4.8 percent above September 2016.

 

In the Midwest, existing-home sales rose 1.6 percent to an annual rate of 1.30 million in September, but are 1.5 percent below a year ago. The median price in the Midwest was $195,800, up 5.4 percent from a year ago.

 

Existing-home sales in the South slipped 0.9 percent to an annual rate of 2.13 million in September, and are now 2.3 percent lower than a year ago. The median price in the South was $215,100, up 4.6 percent from a year ago.

 

Existing-home sales in the West increased 3.3 percent to an annual rate of 1.24 million in September (unchanged from a year ago). The median price in the West was $362,700, up 5.0 percent from September 2016.

However, Houston home sales jumped 4%, as we assume speculative buyers swooped on the 'blood in the streets'!

“Home sales appear to be holding steady,” Lawrence Yun, NAR’s chief economist, said at a press briefing accompanying the report. “The hurricane impact appears to be short-lived.”

“First-time buyers stepped back a bit,” he said, showing pricing increases that are outpacing income gains remain a constraint.

And then NAR takes a swing at Trump's Tax Plan..

“There's no way around the fact that any proposal that marginalizes the mortgage interest deduction and eliminates state and local tax deductions essentially disincentives homeownership and is a potential tax hike on millions of middle-class homeowners,” said Brown.

 

“Reforming the tax code is a worthy goal, but it should not lead to the middle class, who primarily build wealth through owning a home, footing the bill. Instead, Congress should be looking at ways to ensure more creditworthy prospective buyers are able to achieve homeownership and enjoy its personal and wealth-building benefits.”

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spastic_colon's picture

remember how last month I and others said the next month would make up for everything..............me too

toady's picture

Gotta admit... been looking at Puerto Rico... lots of possibilites.

And they have that tax deal going too!

The only problem with Puerto Rico is that it's full of Puerto Ricans, but now they're all moving to Florida!

Took Red Pill's picture

Next up, Santa Rosa home sales surge! Do these fires seem a bit strange?

https://www.youtube.com/watch?v=H_YgQB8Rsww

Gods's picture

Most people live pay check to pay check when the shit hits the fan it's us savers who reap the rewards. The debpt driven mutants can eat cake.

VD's picture

fake data, nothing is real. and reality is whatever you can get away with.

LawsofPhysics's picture

Paul "broken windows" Krugman couldn't be happier...

...the taxpayer is going to pay to rebuild his vacation home in the keys!!!!

 

FreeShitter's picture

Buy now bitches or be priced out forever............

wisehiney's picture

Such a fantastical inflation scare.

Take advantage.

Granny said he who takes advantage, gets advantage.

VD's picture

as granny dines on 3 square meals of Alpo; that is, when she eats.

silverer's picture

Probably the vulture purchases of damaged homes.

toady's picture

Not probably, exactly.

Gods's picture

This buzzard is circling

Max Cynical's picture

OT...

You Won't Believe Why They Could Withhold Relief Funds from Harvey Victims
https://youtu.be/zPZS0R8neuM

From the City of Dickinson, Texas “Hurricane Harvey Repair Grant Application and Agreement”, Section 11…

“Verification not to Boycott Israel. By executing this Agreement below, the Applicant verifies that the Applicant: (1) does not boycott Israel; and (2) will not boycott Israel during the term of this Agreement.”

http://www.ci.dickinson.tx.us/documentcenter/view/2016

TabakLover's picture

The amount of data manip going on to keep the market up is mind-boggling.

shizzledizzle's picture

Yea they surged allright. I'm sure there was a whole bunch sold for pennies on the dollar in Texas. 

DaBard51's picture

Do alliteration right, you must, young padawan.

"Storm-Savaged September Sees Shelter Sales Surge."

Fixed it for ya, did I.

 

When nine hundred years old you become, look this good you will not.

wisehiney's picture

so much better when any fool can get it

easier than a worthy

fuck yeah