NAR Admits Oil Slump Finally Hits Housing Sales

We were told that low oil prices were unequivocally good for America, so it's odd that, after seeing the weakest growth in pending home sales since Nov 2014, NAR blames "softness in sales on oil-related job losses from low oil prices." Pending home sales grew 2.1% YoY in October, (way below the 4.3% expected growth and 3.2% growth in September).

 

Charts: Bloomberg

 

The blame for this trend...

"Areas that are heavily reliant on oil-related jobs are the exception and have already started to see some softness in sales because of declining energy prices," adds Yun.

 

"In the most competitive metro areas – particularly those in the South and West – affordability concerns remain heightened as low inventory continues to drive up prices."  

Source: Realtor.org

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