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Post by unlawflcombatnt on Oct 25, 2006 16:34:45 GMT -6
The Housing Bubble deflation continues to pick up speed. Once again, the housing industry overestimated Existing Home Sales. Instead of the forecasted annual rate of 6.35 million sales, the actual number was only 6.19 million sales.This is a 1.9% decline over the last month in the annualized rate. This is the slowest sales rate since January 2004.
The median price of an Existing Home declined 2.2% since September 2005. This is the biggest 1-year decline on record, which go back over 80 years. Prices declined even more in the West, with a -4.3% change over the last year, and a -3.8% change over the last month. The 1-month decline in Existing Home prices in the West was dramatic. Median Existing Home prices declined from $345,000 in August to $332,000 in September. This 1-month change in the West computes to an annualized 45% decline. Accelerating price declines were also notable in the Northeast, where the 1-year decline was -5.1%, and the 1-month change was -4.4%. The 1-month change in prices in the Northeast comes out to an annualized -53%.
On a separate note, despite the greater-than-predicted decline, housing stocks still increased.
Apparently the "hot air" of the housing bubble continues to flow unabated. Facts have failed to persuade housing bulls or investors. As has been the case during the entire Bush dictatorship, inconvenient facts have little effect.
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Post by lc on Oct 25, 2006 19:35:46 GMT -6
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