The National Association of Realtors' seasonally adjusted index of pending sales for existing homes fell to 84.6 from January's upwardly revised reading of 86.2. The index stood at 107.6 in February 2007.
The February index was the lowest reading since the index began, signaling the housing market distress is far from over.A reading of 100 is equal to the average level of sales activity in 2001, when the index started. The previous low was August's reading of 85.8, recorded at the height of the credit crunch.
Always putting a positive spin on an negative news, the national association of Realtors chief economist, said: “Existing home sales could start to show a sustained increase within a few months, unless there are some additional economic problems or excessive inflationary pressure. We’re looking for essentially stable sales in the near term, before higher mortgage loan limits translate into more sales in high-cost markets. The wider access to affordable credit should increase sales activity notably this summer as pent-up demand begins to be met.”
I predict we will see small but significant and important increases by summer as well.
Brianne
San Francisco California Law
The mortgage industry has been as volatile as ever lately–especially with interest rates, loan programs and the housing market in general. Unlike the past, we are in unchartered territory as far as economic models go.
Karen
San Diego Laser Eye Surgery
We must blame the President, right? Surely he must have been wrong. We blame him for everything including continental drift, whenever there is a problem or a minor rift.
Ryanne
San Diego County Cosmetic Surgery