Economy

TexasTowelie

(112,456 posts) Fri Oct 19, 2018, 10:30 AM Oct 2018

US home sales fell in September to slowest pace in 3 years

WASHINGTON (AP) — U.S. home sales fell for the sixth straight month in September, a sign that housing has become a weak spot for the economy.

The National Association of Realtors says sales declined 3.4 percent last month, the biggest drop in 2 ½ years, to a seasonally adjusted annual rate of 5.15 million. That's the lowest sales pace since November 2015.

Hurricane Florence dragged sales in North Carolina, but even excluding the storm's effects, sales would fallen more than 2 percent. Sales of existing homes have declined steadily in the past year amid rapid price increases, higher mortgage rates and a tight supply of available houses.

Sales fell 4.1 percent in September from a year ago. The drop may worsen in the coming months as mortgage rates have kept rising.

http://kdhnews.com/business/us-home-sales-fell-in-september-to-slowest-pace-in/article_b6143aa4-ff03-5ead-beff-4e7a1ddc47a0.html
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US home sales fell in September to slowest pace in 3 years (Original Post) TexasTowelie Oct 2018 OP

I think we are in trouble Guppy Oct 2018 #1

The Trump slump sandensea Oct 2018 #2

Guppy

(444 posts)

1. I think we are in trouble

Reply to TexasTowelie (Original post)

Fri Oct 19, 2018, 10:41 AM

Oct 2018

I am selling one of my rental houses. I got list price but we did a total gut of the house and knocked down 2 walls. It sold in 3 days. However 5 other houses in the same neighborhood has been languishing. This is close in for Atlanta and a very good neighborhood. Those houses would have flown off the shelf when we sold our primary residence in April.

the republican party did a no no as far as economics with the tax cut. We primed the pump through deficit spending in the middle of a robust economy. One of the worst things you can do.

If you notice interest rates are going up and we left ourselves with no options in case of a downturn.

My financial adviser is also telling me people who he hasn't heard from for years are thinking of coming into the market. Bad stuff. I think I am going to take a cash position.

sandensea

(21,674 posts)

2. The Trump slump

Reply to TexasTowelie (Original post)

Sun Oct 21, 2018, 09:01 AM

Oct 2018

Higher deficits - and the prospect of much higher ones still - are pushing interest rates up.

This actually stimualted the housing market for a while (mostly in 2017), as many fance-sitters rushed to buy before rates went up.

But now it's turning into the inevitable slump. Question is: how low will it go?

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