Home Members Tools Credit Cards
   

  • Existing Home Sales Increase 1.4% in October

    The inventory of existing homes on the market fell in October and the pace of home sales increased to a level 13.5% above what they were a year ago, according to a report released by the National Association of Realtors on Monday.

    October sales rose 1.4% from the previous month, to a seasonally-adjusted annual pace of 4.97 million. At the current sales pace, there was an 8 month supply of homes on the market - down from an 8.3 month supply in September. Existing home sales data includes single-family homes, townhouses, condos, and co-ops.

    But while recent sales have gained momentum, they have much room for improvement. And though real estate is highly affordable right now due to lower sales prices and record low mortgage rates (4.07% in October for a 30 year fixed rate conventional loan with a 20% down payment), many would-be buyers are just not able to follow through with their plans of home ownership.

    NAR’s chief economist Lawrence Yun said, “Home sales have been stuck in a narrow range despite several improving factors that generally lead to higher home sales such as job creation, rising rents and high affordability conditions. Many people who are attempting to buy homes are thwarted in the process.“

    Yun said that a high rate of contract failures has held back a sales recovery. Contract failures are cancellations of a purchase contract due to reasons such as declined mortgage applications, appraised home values coming in lower than the negotiated sales price, or other problems including home inspections and employment losses.

    “Contract failures reported by NAR members jumped to 33% in October from 18% in September, and were only 8% a year ago, so we should be seeing stronger sales,” Yun added.

    “Other recent factors include disruption in the National Flood Insurance Program, and lower loan limits for conventional mortgages, which paradoxically force some of the most creditworthy consumers to pay unnecessarily higher interest rates,” Yun said.

    NAR PresidentMoe Veissi, broker-owner of Veissi & Associates Inc., in Miami, said consumers can increase their odds of obtaining a mortgage by being aware of how credit scores are determined. “If you want to get a mortgage, don’t buy a car or take on new installment debt or credit cards,” he said.

    Veissi also reminded consumers to pay all their bills on time, keep old credit accounts active, and keep credit balances below 30% of their credit limits.

    The national median sales price was $161,600 in October, which is 5.8% the median price a year ago. Distress sales continue to put downward pressure on the median home price.

    By region, the West showed the most improvement in October - existing home sales rose 4.4% to a level 15.5% higher than they were a year ago. The median sales price in this region was $207,500 - 1.6% lower than in October 2010.

    In the Midwest, existing home sales rose 2.8% in October to a pace 19.6% higher than the same month the year before. The median home price of $132,800 was 4.7% lower than it was a year ago.

    Existing home sales in the South rose 2.1% in October to a level 14.1% higher than it was in October 2010. The median home price in the South was $145,700, a decline of 1.6% from the same month last year.

    The Northeast was the only region to experience a decline in home sales for October, falling 5.1% from the previous month. The pace of sales increased 1.4% from October 2010 and the median sales price of $224,400 was down 5.5% from a year ago.


    Source:
    National Association of Realtors
  • Disclaimer

    Information in these articles is brought to you by Finance Globe. Banks, issuers, credit card, and other companies mentioned in the articles do not endorse or guarantee, and are not responsible for, the contents of the articles and is further subject to our terms and conditions.
  • Recent Activity

    aafe1990

    Capital One Cards & Credit Questions

    Thread Starter: aafe1990

    Yes hello everyone. I'm new here and just needed some help in regards to my capital one credit cards and questions. Okay so first off my very...

    Last Post By: aafe1990 April 23rd, 2014, 10:17 AM Go to last post
  • Recent Forum Posts

    aafe1990

    Re: Capital One Cards & Credit Questions

    Thank you so much. That's what I'll try to do. I say try because at the moment I'm stuck in a place where my paycheck pays off one of my cards in full

    aafe1990 April 23rd, 2014, 10:17 AM Go to last post
    SAR1954

    Re: Capital One Cards & Credit Questions

    My opinion based on personal experience and if I am reading correctly you currently have two capital one credit cards that are both under a year old,

    SAR1954 April 23rd, 2014, 10:05 AM Go to last post
    aafe1990

    Capital One Cards & Credit Questions

    Yes hello everyone. I'm new here and just needed some help in regards to my capital one credit cards and questions. Okay so first off my very first

    aafe1990 April 19th, 2014, 07:05 PM Go to last post
    bocald99

    Re: Report Your "Credit limit Increases" Here!

    La-Z-Boy Comfort Studio Card CLI from $1500 to $3500.

    bocald99 April 18th, 2014, 11:04 PM Go to last post
    SAR1954

    Re: Report Your "Credit limit Increases" Here!

    Macys Store Credit Card - Increase CL from $1K to $1200 (soft pull). It wasnt that long ago they increased my account from $300 to $1K. I wasnt sure I

    SAR1954 April 18th, 2014, 01:34 PM Go to last post
  • Recent Headlines and Articles

    ChrisB

    Is your Local Bank the Right One for you?

    Choosing a local bank is a big decision. While some people stick with the institution they have relied on for many years, others are open to making a change if it makes sense to do so.

    Do you have the feeling that your current... read more
    ChrisB April 23rd, 2014, 08:07 AM
    akfilipp

    Go Green to Save Green

    It’s Earth Day. Well, on the day this article gets published it will be officially, but no matter what day of the year it is as you read this its message will have relevance. What was once a single day annual event that appealed mainly to tree hugging... read more
    akfilipp April 22nd, 2014, 07:08 PM
    ChrisB

    Answer these Financial Questions before Choosing a College

    Are you in the process of comparing colleges? Are you hoping to make a decision on which one to attend in the near future? Despite the fact that this is one of the biggest decisions of your life, you only... read more
    ChrisB April 22nd, 2014, 08:26 AM
    ChrisB

    Do these Three Things before Filing for Bankruptcy

    Are you interested in filing for bankruptcy? If so, you should understand the seriousness of making this decision. It may be something that could benefit you now and over the long run, but at the same time... read more
    ChrisB April 21st, 2014, 07:59 AM
    ChrisB

    Hiring a Painter? Use these Tips to Save Money

    When hiring a painter, either for an interior or exterior project, it is essential to find a high quality professional that can give you the results you are looking for. At the same time, you should do whatever it takes... read more
    ChrisB April 18th, 2014, 08:07 AM
    ChrisB

    Quick Tips for Choosing the Right Financial Planner

    If you are serious about your financial situation and hope to make all the best decisions for your future, it may be time to hire a professional. But not just any professional. You need to find a local financial... read more
    ChrisB April 16th, 2014, 08:35 AM
    Mary Tomkins

    Today's the Deadline to File Your Tax Return

    If you haven't already done so, today's the day to file your return and pay your 2013 taxes. If you need more time to complete your return, you can submit IRS Form 4868 to request a six-month extension.... read more
    Mary Tomkins April 15th, 2014, 01:16 PM
    ChrisB

    Methods for Dealing with a Home Insurance Increase

    Even though you understand the importance of having a high quality home insurance policy in place, there may come a time when you feel that you are paying too much.

    What are you going to do next?... read more
    ChrisB April 15th, 2014, 09:05 AM

 

 

 

Credit Cards | Finance Social Network | Credit Card Reviews | Markets
About Us | FG on the Web | Sitemap | Privacy | Terms | Contact


Copyright © 2014 Finance Globe. All rights reserved.