Posted on October 3, 2014 - 10:31 AM
by Kathryn Lovell
Be Quiet Chicken Little! Real Estate is Just Fine
September 30 2014
The latest Existing-Home Sales Report from NAR revealed that sales decreased 1.8 percent in August. Many might start to panic, but let’s see what the report really shows.
Lawrence Yun, NAR chief economist explains “there was a marked decline in all cash sales from investors. On the positive side, first-time buyers have a better chance of purchasing a home now that bidding wars are receding and supply constraints have significantly eased in many parts of the country.”
There is Still A LOT of Good News:
The median existing-home price for all housing types in August was $219,800, which is 4.8 percent above August 2013. This marks the 30th consecutive month of year-over-year price gains.
40% of homes sold in August were on the market for less than a month.
Distressed home sales remain at single digits for the second straight month, at 8%, down from 12% last year this time.
More buyers qualified for mortgages to purchase a home in August, as evidenced by the decline in the number of all cash buyers from 29% to 23%.
New Home Sales Surge:
Newly built single-family home sales surged 18% in August, the highest level in six years according to new data released by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.
The Experts Agree:
“This robust level of new-home sales activity is a good sign that the housing recovery is moving towards higher ground,” said NAHB Chief Economist David Crowe. “Historically low mortgage rates, attractive home prices and firming job and economic growth should keep the housing market moving forward in 2014.”
Yun adds, "As long as solid job growth continues, wages should eventually pick up to steadily improve purchasing power and help fully release the pent-up demand for buying.”
Now is still a great time to buy a home, whether as a first time homebuyer or you’re moving up to the home of your dreams, don’t let the headlines scare you from making the best decision for your family.
RE/MAX Preferred Properties
I am a licensed Broker.I specialize in representing my clients in the purchase and sale of single-family residences,lots and land, cabins, and investment property within Sevier County. I am a Louisiana native,born and raised in New Orleans.
RE/MAX Preferred Properties 953 Dolly Parton Parkway Sevierville, TN 37862 Office 865-392-5885 Cell 865-740-4877 Each Office Independently owned and operated Licensed in the state of Tennessee
All information deemed reliable but not guaranteed. The opinions expressed in this article are intended to supplement opinions on real estate expressed by local and national media, local real estate agents and other expert sources. You should not treat any opinion expressed in this article as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of opinion. Steve Harney, Inc. does not guarantee and is not responsible for the accuracy or completeness of information, and provides said information without warranties of any kind. All information presented herein is intended and should be used for educational purposes only. Nothing herein should be construed as investment advice. You should always conduct your own research and due diligence and obtain professional advice before making any investment decision. All investments involved some degree of risk. Steve Harney, Inc. will not be liable for any loss or damage caused by your reliance on information contained in this article.
Kathryn Lovell, Broker, CDPE, SFR, e-PRO
RE/MAX Preferred Properties, Inc.
953 Dolly Parton Parkway, Sevierville, TN 37962
Each office independently owned and operated
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