Home Sales
This morning the National Association of Realtors reported that sales of previously-occupied homes rose 1.7 percent last month, hitting a 6 1/2 year high! Keep in mind that these August home sales reflect contracts signed in June and July, when mortgage rates were almost a full percentage point less than today.
Here in California for August we posted the strongest homes sales in seven years! The California median sales price was $361,000, down 0.6 percent from 363,000 in July but still up 28.5 percent from $281,000 in August 2012.
DataQuick reported that homes foreclosed upon during the previous year accounted for 7.8 percent of existing home sales in August, down from 20 percent a year earlier and 58.8 percent in February 2009.
The rising interest rates have resulted in a significant drop in buyer traffic August. So, it looks like future monthly home sales through the end of 2013 will not surpass today’s August numbers.
