Posted on 07/26/2010 8:09:45 AM PDT by Rational Thought
Sales of new U.S. single-family homes rebounded strongly in June from the prior month's record low, government data showed on Monday, driving the number of houses on the market to their lowest level in nearly 42 years
The Commerce Department said sales jumped 23.6 percent to a 330,000 unit annual rate from a downwardly revised 267,000 units in May. The sales pace last month was still the second lowest since records started in 1963. The percentage increase was the largest increase since May 1980, and partially unwound the prior month's historic 36.7 percent decline.
(Excerpt) Read more at cnbc.com ...
But, not in the headline; New home sales bounce from a downwardly revised record low the prior month. The median sales price continued to fall. Construction is down, creating less supply. Compared with June 2009, last month's sales were down 16.7%.
In addition, I don't believe these are closed sales. Rather, these were purchase contracts which were signed.
Definitely spin. Where I live there are still helluva lot of unoccupied houses. Very little change in the last 16 months.
Here we go with the spin machine... right on time for November!
This is good news. So much of the U.S. net worth is tied up in our homes. Most small businesses are started and tend to keep getting infusions of capital as people borrow against their home’s value. Lot’s of job creation and new business formation has been stagnated by the drop in home values and the lack of recovery. It is going to take a number of years to burn through the inventory. I don’t see a recovery in the next 4 years or so. A good step would be to lift the Jumbo status from 417K to 600K or more.
Who are these CNBC people? What planet do they live on? Are they human?
I do not call this “spin.”
It is most clearly a LIE.
Unreal.
I tought they were to provide us with meaningful news, news reported in a fair and objective fashion....where did that go?
Mega BS!!! Still no traffic of mixers and dump trucks around here where we have about 10,000 empty lots waiting for homes. No sounds of air hammers which was a normal thing around 7:30 a.m.. Its been really quiet, since the boom, lots of local businesses are still closed. On the good side, my 32K pool can be done for 19K now.
A good number of those home sales finalized were with the $8,000 tax credit.
They are Obamulans. From planet Utopio. They create economic propaganda for use in the rest of the Obamulan media.
2nd lowest sales in 47 years is a “surge”??????
Only for those trying to cover for this administration’s incompetence!!!!
3.75% interest for a 15 year fixed rate loan is pretty awesome. Now if I can convince someone to buy my existing house.
Democrats Vote Down 5 Percent Rule In a bid to stem taxpayer losses for bad loans guaranteed by federal housing agencies Fanny Mae and Freddy Mac, Senator Bob Corker (R-Tenn) proposed that borrowers be required to make a 5% down payment in order to qualify. His proposal was rejected 57-42 on a party-line vote because, as Senator Chris Dodd (D-Conn) explained, "passage of such a requirement would restrict home ownership to only those who can afford it."
Such sophistry only works on the purposefully ignorant or the truly stupid. A three-month moving average suggests nothing when the supply is contracting because of the economic terror visited upon us by our current (and alleged) president.
Oh, and "subdued inflationary pressure" translates to the "positive" that they tortured out of the data to be a weakie.
.
Bad: Of course, it’s a lie. They’re progressives.
Good: It’ll only be seen by the dozen or so CNBC viewers, none of which could pass an Econ 101 course.
Here’s the facts:
New Home Sales: Worst June on Record
Ignore all the month to previous month comparisons. May was revised down sharply and that makes the increase look significant. Here is the bottom line: this was the worst June for new home sales on record.
The 330 thousand in June is the worst June on record. With all the gyrations, it is difficult to see what is happening month to month, but overall this was a very weak report.
http://www.calculatedriskblog.com/2010/07/new-home-sales-worst-june-on-record.html
Its only a money figure when buying a house. Our house was selling 500k, now its 300k, if I sold it I could buy a new house the equivalent of mine for 300K. In essence you lost a figure but didn’t really lose if you are buying a like item. Been there before with the housing market, we’ve seen it drop and after a few years bounce back up. Fortunately, I’m retired and have no desire to leave here. If the house goes up to 500K again, maybe we’ll go to a condo, if I could part with all our accumulated treasures.
Builders are desperate to get their inventory sold. They don't care about losing money, they just want to get rid of the inventory and move on.
These spike/crash numbers are a classic indicator of a market bottom. But while the new home inventory is drying up, there is still a huge inventory of foreclosures out there, and more coming on the market.
Total BS! In my town, there are hundreds of houses for sale, many of them empty. There are also countless for rent signs out. People resort to renting a house when they can’t sell it.
The article is about new homes, not existing homes.
Sure there's no inventory, nobody's placing new orders and builders damn sure ain't building on spec these days.
Typical left wing dumb ass. Heaven forbid only people who can afford to pay for it can own an item.
The spin is an outrageous grasping at straws. These numbers are still disastrous. The second lowest since 1963? Are you kidding? What was the US population in 1963? 170 million maybe? And what are we today? Something like 310 million?
These are professional paid shills who's given mission is to boost consumer confidence, get you to shop, buy homes and invest in the stock market. The only person on CNBC who doesn't follow his talking points is Rick Santelli, and they only keep him around so they can bash him as being a right wing fringe wacko. Anybody who watches CNBC realizes that Santelli is the only one among them telling the truth. The rest are paid liars whose mission is to make you feel good so you shop, spend, get deeper in debt, and pour money into the stock market for their pigmen friends to steal from you.
That is CNBC. They are human. They are slimey vermin fulfilling their mission to get you to donate your money to their elite friends in Goldman Sachs, PIMPCO, etc. It is not worth watching, not even for Santelli's rare logical outbursts. Catch Santelli on youtube and avoid the professional liars on CNBC altogether.
Furthermore, they are rabid Obama supporters (except for Santelli). Dylan Ratigan was a prime host on CNBC. He left, went straight to PMSNBC and has tried to out do Olbermann for extreme leftist bias. That should tell you something about CNBC right there.
NBC, all of it from PMSNBC to CNBC to the main network, is filled top to bottom with Obama boot-licking socialists.
Top to bottom.
Since no one is building new homes..the inventory of new homes has declined. BFD. If there weren’t millions of old homes out there on the market pigs could fly also.
This is the time of shallow reporting one expects from the OLD TIME MEDIA..just regurgitate the news releases..no analysis.
I will take a loss if I sell. But if I’m not where I want to be what good is it?
Housing is a place to live. For a while it was touted as a no lose investment. It might be again someday.
Why are copper futures up? The reason I read was that housing construction was *rebounding*?
My observation is that this is a lie, but still, copper futures are up.
Is China still buying copper? This would explain copper prices more than any US housing rebound in the homebuilding industry.
‘Compared with June 2009, last month’s sales were down 16.7%”
All that needs to be said. Last year sucked and this year sucks even more.
In May 1980, inflation was 14.4% and Carter was president. Hmmmm.
Same in our area. Only a few starts and too many plumbers available, too many contractors, too many carpenters. The people we know have all cut their businesses to the bone. Older owners are showing up for simple plugged toilets and leaky faucets. Cargill is paying plumbers around $8/hr and they are feeling lucky to have the work at all, according to the wife of one plumber.
It filters down to everyone else, too.
No one here is building new homes. Lots of unemployed carpenters, painters, plumbers, and electricians.....
That is just downright evil and Unamerican requiring that only those who can afford a house should buy one........
That is just downright evil and Unamerican requiring that only those who can afford a house should buy one........
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.