Pages

Existing Home Sales Fall 0.6%; Median Sales Price Up 0.1%

In February, existing homes sales fell for the third consecutive month, falling 0.6% to an annualized pace of 5.02 million units. This small decline followed two months of large drops. Sales had grown quickly over the late summer and fall, greatly aided by the home buyer tax credit. However, as the effects of the credit wore off, sales have since fallen back down to a pace similar early last summer. It would appear at this point a good amount of the new sales generated over the summer were simply a temporal shift, increasing demand at the expense of sales currently. Still from a year prior, sales were up 7.7%.

Partially sue to the drop in the pace of sales, the months supply of inventory rose to 8.6 from 7.8. However, much of this increase was due to a large rise in homes listed for sale. For the first time in over three years, the number of properties listed for sale rose on a year-over-year basis. The supply of inventory will have to decline before prices can be certain to have bottomed out. The historical “normal” value is around five to six months.

Over February, the median sales price rose 0.6% to $165,100. From a year prior, prices were down 1.9%.



10.03.23 (Source: National Association of Realtors)

0 comments:

Post a Comment

  • Stiglitz the Keynesian... Web review of economics: Stigliz has an article, "Capitalist Fools", in the January issue of Vanity Fair. He argues that the new depression is the result of:Firing...
  • It's Never Enough Until Your He... Web review of economics: Aaron Swartz quotes a paper by Louis Pascal posing a thought experiment. I wonder if many find this argument emotionally unsatisfying. It...
  • Michele Boldrin Confused About Marx... Web review of economics: Michele Boldrin has written a paper in which supposedly Marxian themes are treated in a Dynamic Stochastic Equilibrium Model (DSGE). He...
  • Negative Price Wicksell Effect, Pos... Web review of economics: 1.0 IntroductionI have previously suggested a taxonomy of Wicksell effects. This post presents an example with:The cost-minimizing...
  • Designing A Keynesian Stimulus Plan... Web review of economics: Some version of this New York Times article contains the following passage:"A blueprint for such spending can be found in a study financed...
  • Robert Paul Wolff Blogging On Books... Web review of economics: Here Wolff provides an overview of Marx, agrees with Morishima that Marx was a great economist, and mentions books by the analytical...
  • Simple and Expanded Reproduction... Web review of economics: 1.0 IntroductionThis post presents a model in which a capitalist economy smoothly reproduces itself. The purpose of such a model is not to...
  • How Individuals Can Choose, Even Th... Web review of economics: 1.0 IntroductionI think of this post as posing a research question. S. Abu Turab Rizvi re-interprets the primitives of social choice theory...