Pending home sales fall 4.7% in May – Jul. 8, 2008
by Tom on July 8, 2008
in Market Musings, house prices
The Index from the National Association of Realtors (NAR) fell to 84.7 in May, down 4.7% from an upwardly revised reading of 88.9 in April. The index was 14% below the 98.5 it measured in May 2007.I’m going to say again what I’ve said before. We need to get back to a level of normal affordability and sustainable home sales. Until we get inventories to the level they need to be and home prices to the point where they relate to the incomes in the area, we’re going to see soft sales numbers.But I’d also not take too much stock in one month’s worth of numbers. One month doesn’t a trend make and neither does it signal a dramatic reversal of fortunes.If you want to talk about it, give me a call.Tom (616) 292-7559
