Homes sales jump 7.4%

[Chris]

Sales of previously owned homes soared 7.4% in the traditionally slow month of November as buyers looked to take advantage of a tax credit for first-time purchases, an industry group said this morning.

Sales of single-family houses, town homes, condominiums and co-ops rose to a seasonally adjusted annual rate of 6.54 million units in November, the National Assn. of Realtors in Washington said.

That is 44.1% above the 4.54 million sales pace of November 2008.

The 7.4% rise reported today was compared with sales in October 2009.

U.S. sales of existing homes soar 7.4% -- latimes.com

 

[rightwinger]

Good to see we are getting some economic recovery. I see more homes being sold near me. Prices are still down quite a bit, but up slightly

 

[Oddball]

Who knew that free lunch was so popular?

 

[uscitizen]

What percentage were repos?

If a repo sale it is not a gain just a stay even since the previous owners will not be owning a home for a while.

 

[Chris]

Who knew that free lunch was so popular?

But I thought the stimulus wasn't working?

 

[Sinatra]

About 50% were first time buyer transactions taking advantage of the tax credit.

The extension and expansion of said credit will increase market volatility in the winter and spring months - but unlikely we will see the rush of sales as we did in the fall of 2009.

That being said, the housing market is showing some clear signs of stabalization - though foreclosures are likely to continue increasing well into 2010.

Overall, 2010 will be a slight improvement over 2009 regarding the housing market, with 2011 being when a true recovery finally takes hold - that is, IF interest rates don't blow up into the 7% or higher margins.

At present, lending is still too slow - too restrictive. Buyers with decent credit continue to find it tough to get a loan.

Hopefully 5% down conventional loans will return once the market fully stablizes. That, along with reasonable interest rates of 6% or lower will create a solid bottom and allow appreciation of home values to begin in earnest at a rate of 4-6% per year.

If Republicans make significant gains in 2010, this will increase that likelihood...

 

[Oddball]

Who knew that free lunch was so popular?

But I thought the stimulus wasn't working?

Easy and below-natural-market-rate credit, extended to people who eventually weren't be able to pay of the mortgages, is what got us into this problem, you insane nitwit.

 

[Chris]

About 50% were first time buyer transactions taking advantage of the tax credit.

The extension and expansion of said credit will increase market volatility in the winter and spring months - but unlikely we will see the rush of sales as we did in the fall of 2009.

That being said, the housing market is showing some clear signs of stabalization - though foreclosures are likely to continue increasing well into 2010.

Overall, 2010 will be a slight improvement over 2009 regarding the housing market, with 2011 being when a true recovery finally takes hold - that is, IF interest rates don't blow up into the 7% or higher margins.

At present, lending is still too slow - too restrictive. Buyers with decent credit continue to find it tough to get a loan.

Hopefully 5% down conventional loans will return once the market fully stablizes. That, along with reasonable interest rates of 6% or lower will create a solid bottom and allow appreciation of home values to begin in earnest at a rate of 4-6% per year.

If Republicans make significant gains in 2010, this will increase that likelihood...

Link?

 

[Dr.House]

Kind of hard to buy a house if you're out of work, though..

 

[Sinatra]

About 50% were first time buyer transactions taking advantage of the tax credit.

The extension and expansion of said credit will increase market volatility in the winter and spring months - but unlikely we will see the rush of sales as we did in the fall of 2009.

That being said, the housing market is showing some clear signs of stabalization - though foreclosures are likely to continue increasing well into 2010.

Overall, 2010 will be a slight improvement over 2009 regarding the housing market, with 2011 being when a true recovery finally takes hold - that is, IF interest rates don't blow up into the 7% or higher margins.

At present, lending is still too slow - too restrictive. Buyers with decent credit continue to find it tough to get a loan.

Hopefully 5% down conventional loans will return once the market fully stablizes. That, along with reasonable interest rates of 6% or lower will create a solid bottom and allow appreciation of home values to begin in earnest at a rate of 4-6% per year.

If Republicans make significant gains in 2010, this will increase that likelihood...

Link?

That's all me kid....

 

[Chris]

Who knew that free lunch was so popular?

But I thought the stimulus wasn't working?

Easy and below-natural-market-rate credit, extended to people who eventually weren't be able to pay of the mortgages, is what got us into this problem, you insane nitwit.

But those mortgages don't exist anymore.

You don't know much about the real estate market, do you?

 

[rightwinger]

Damn!

I hate getting good news right before Christmas

Can you post some unemployment numbers to make the posters here happy?

 

[Chris]

About 50% were first time buyer transactions taking advantage of the tax credit.

The extension and expansion of said credit will increase market volatility in the winter and spring months - but unlikely we will see the rush of sales as we did in the fall of 2009.

That being said, the housing market is showing some clear signs of stabalization - though foreclosures are likely to continue increasing well into 2010.

Overall, 2010 will be a slight improvement over 2009 regarding the housing market, with 2011 being when a true recovery finally takes hold - that is, IF interest rates don't blow up into the 7% or higher margins.

At present, lending is still too slow - too restrictive. Buyers with decent credit continue to find it tough to get a loan.

Hopefully 5% down conventional loans will return once the market fully stablizes. That, along with reasonable interest rates of 6% or lower will create a solid bottom and allow appreciation of home values to begin in earnest at a rate of 4-6% per year.

If Republicans make significant gains in 2010, this will increase that likelihood...

Link?

That's all me kid....

I figured you made that up.

 

[Sinatra]

Kind of hard to buy a house if you're out of work, though..

Agreed. The economy is lurching to some degree of stabilization and will continue to do so in 2010.

We could be settling into a pattern of 7-8% unemployment for the next year or two.

If 2010 swings toward the Republicans, then further stabilization will develop.

If not, I fear things could get very scary with a double-dip recession...

 

[Annie]

How many went for 'fire sale' prices? Good news? 3rd quarter was anemic 2.2 gain, not the 3.8 originally ballyhood by the likes of Chris.

 

[Oddball]

But I thought the stimulus wasn't working?

Easy and below-natural-market-rate credit, extended to people who eventually weren't be able to pay of the mortgages, is what got us into this problem, you insane nitwit.

But those mortgages don't exist anymore.

You don't know much about the real estate market, do you?

I know plenty about the market.....And people who have no ability to manage their finances are jumping into the market, because they're getting "free" money to do so.

Giving away money to people who have no ability to manage it in the first place, to purchase something that requires decent money management skills, is a recipe for disaster.

But as long as you get your cut of the graft in your commissions, everything is A-OK, huh?

 

[Sinatra]

Link?

That's all me kid....

I figured you made that up.

I suggest you check the information - it's all legit.

Real estate is a big part of my portfolio.

I've weathered the storm, and hoping for calmer waters ahead...

 

[Oddball]

How many went for 'fire sale' prices? Good news? 3rd quarter was anemic 2.2 gain, not the 3.8 originally ballyhood by the likes of Chris.

Fire sales, upside-down REOs, pre-foreclosure short sales.

But as long as the realtor flakes like Chrissy get their cut of the welfare......

 

[Dr.House]

This is good news for those who are gainfully employed and can afford to buy a house...

Not so good for those who aren't and can't....

 

[Sinatra]

Easy and below-natural-market-rate credit, extended to people who eventually weren't be able to pay of the mortgages, is what got us into this problem, you insane nitwit.

But those mortgages don't exist anymore.

You don't know much about the real estate market, do you?

I know plenty about the market.....And people who have no ability to manage their finances are jumping into the market, because they're getting "free" money to do so.

Giving away money to people who have no ability to manage it in the first place, to purchase something that requires decent money management skills, is a recipe for disaster.

But as long as you get your cut of the graft in your commissions, everything is A-OK, huh?

That is why minimal requirements should be at least "average" credit, verifiable income, and 5% down. Such underwriting guidelines offer the investor a reasonable amount of safety, and the buyer a reasonable amount of "skin in the game".

FHA has already risen its down payment requirement to 3.5% - which is plenty. This, combined with the tougher appraisal and underwriting requirements, offers up a far safer and more reasonable market condition than the sub-prime days of utter madness that started the ball rolling for what became the real estate collapse.

If the above does not happen, then the gap between the haves and have nots will worsen more so in America...