Why do I feel like I'm reading a message from the Titanic captain to his crew? Or maybe watching a press conference with the Iraq Information Minister?
Home Sales to Hold Fairly Steady for Balance of Year
To: National and Business desks, Real Estate Reporter
WASHINGTON, Aug. 8 /U.S. Newswire/ -- The housing market is in a process of stabilizing with little change in overall sales volume expected over the balance of the year, according to the National Association of Realtors(r).
David Lereah, NAR's chief economist, said the indicators already are leveling-off. "We've seen a minor easing in closed transactions of existing-home sales, and a slight increase in the leading indicator of pending sales based on contracts," he said. "New-home sales and housing starts have been fluctuating, so the overall market is stabilizing."
"On one hand is the rise in mortgage interest rates that has slowed sales in many higher-cost markets, and on the other is 3.8 million new jobs over the last two years," Lereah said. "This means many potential home buyers could enter the market in the foreseeable future, especially in moderately priced areas where affordability conditions remain favorable. In fact, this is already occurring."
NAR President Thomas M. Stevens from Vienna, Va., said current market conditions are favorable for buyers.
"The rise in housing supply is the biggest change in the market over the last year," said Stevens, senior vice president of NRT Inc. "Clearly, this has taken pressure off of home prices and has significantly widened choices for buyers. At the same time, sellers are getting excellent returns - but in this competitive environment they need real estate professionals more than any time since the 1990s to market their homes and maximize value."
August 09, 2006
Here's your NAR and David Lereah current BS (oops, I mean talking points) - all is well, remain calm, remain calm!
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6 comments:
Well then, I guess I'm priced out forever.
What's a guy got to do to make a $4k monthly mortgage payment PLUS annual prop. tax of $6k PLUS annual HO insurance of $4.5K?
It's a good thing I forgot to have children!
But, I 'm still priced out forever!
Sh!t! My wifes gonna kill me!
millions of buyers entering the market
oh, man, that's so damn funny I might have shat myself
someone go find out if david lereah has been able to dump his investment properties yet
Reminds me of Busch Gardens. The log flume ride goes way up, has a slight drop, a level area, and then the huge plunge where everyone gets soaked.
Oops I just described the housing market.
I have to post this.. LOL. This is from USA Today where a listener asks a question about a realtor. This just goes to show what jackasses realtors are becoming in the post-bubble era.
Miami, FL: I am really confused. My husband and I are thinking of buying a new home - lets say a upgrade. We looked for moths and found one we really liked. It is about $90k more than we budgeted. Out real estate agent suggested I take the money out of my IRA account because I will make more having it it real estate than in the stock market. I was told by my financial advisor not to touch it until retirement and if I did I would pay a penalty. The real estate agents said even if I pay a penalty in one or two years I could have 30-50% more anyway. I am confused. My husband is like - man - I do not know? One thing I know is this agent is getting real tense and pushy at times.
Sandra Block: Excuse while I bang my head on my desk. Your real estate agent is giving you TERRIBLE advice. If you take money out of your IRA, you will pay income taxes, plus a 10% early withdrawal penalty. That could eat up a third of your IRA, and reduce the amount you'll have available for retirement. Even more outrageous is your agent's suggestion that you will earn it all back in appreciation. The real estate market is softening all over the country, including Miami. Which is probably why the agent is getting tense and pushy. If you take this real estate agent's bad advice, he'll pocket the commission and move on. You, meanwhile, will be stuck with a big tax bill and a house you probably can't afford.
David Lereah is discredited. . .why do we even bother? He is doing his job well. . .being an apologist for the Real Estate industry, but even they know the market died. . .too bad some people will listen to him and buy a house.
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