US new home sales rocket higher in May
Source: AP-EXCITE
WASHINGTON (AP) Sales of new U.S. homes rose in May to the highest level in six years, providing the strongest signal yet that housing is recovering from a recent slowdown.
New home sales jumped 18.6 percent last month following a 3.7 percent increase in April, the Commerce Department reported Tuesday. The gains followed declines in February and March that were blamed in part on harsh winter weather.
The big May increase pushed the seasonally adjusted annual sales rate to 504,000, the highest level since May 2008.
"This is the strongest level since the end of the recession and is an encouraging sign that housing activity improved in the second quarter," Cooper Howes, an economist at Barclays Research, said in an analyst note.
FULL story at link.
Read more: http://apnews.excite.com/article/20140624/us--new_home_sales-f58e94f0d0.html
In this May 21, 2014 photo, a sign sits in front of a home for sale in West Des Moines, Iowa. The Commerce Department releases new home sales for May on Tuesday, June 24, 2014. (AP Photo/Charlie Neibergall)
SoLeftIAmRight
(4,883 posts)Another Obama fail.
justabob
(3,069 posts)There are not enough houses for sale around here, new or old, it is totally crazy. The last several buyers we've had at my brokerage have been through the offer process 4, 5, 6 times before winning real estate lotto and getting one accepted. You have to have sold your house, or pre qual without sale, before you even go shopping... no contingency sales are being accepted. Appraisals and condition issues do not matter because every stinkin' house has multiple full price offers within hours of hitting the market. That is only a slight exaggeration... it is rare to see a decent house on the market for more than a week these days.
IronLionZion
(45,163 posts)Is it regular people or investors?
justabob
(3,069 posts)There are cash buyers out there for sure, but unsure how many are individuals and how many are investors... not really great for investors at the moment with so many competitors and multi-offer listings going for 98% (and up) of list price in less than 7 days on market. Prices are going crazy and we have a whole lot of migration from California and elsewhere with Toyota moving here and other things.... We used to get calls from investors wanting to buy, but those calls have dried up for the most part.
n2doc
(47,953 posts)Some houses are moving, but I still see many for sale signs that stay for months, if not longer.
justabob
(3,069 posts)I was helping a couple relocating from alabama last week, and they were totally unprepared for the madness of DFW rental market, which is just as bad as the sale market, at least for things other than apartments. They can't sell their house in Alabama and rent is cheap there... not so here. Even rentals you have to call ahead and make sure there are not 4 applications in ahead of you. It is hard work on the buyer/tenant side.