Lawler: Early Read on Existing Home Sales in February - InvestingChannel

Lawler: Early Read on Existing Home Sales in February

From housing economist Tom Lawler:

Based on local realtor/MLS reports I have seen across the country, I estimate that US existing home sales as measured by the National Association of Realtors ran at a seasonally adjusted annual rate of about 4.60 million in February, down 0.4% from January’s seasonally adjusted pace. There is little doubt that severe weather in many parts of the country contributed to last month’s weak sales, as was the case in many areas in January.

Some of the biggest YOY declines in sales, however, were not in areas with “bad” weather, but where (1) there were big YOY declines in “distressed” sales, (2) big YOY declines in “investor” purchases; (3) big rebounds in home prices over the past year+; and (4) no growth, or in several area declines in primary-residence home purchases.

CR Note: Based on Lawler’s estimate, sales will be down about 7% from the February 2013 sales rate of 4.95 million. Some of this weakness is weather related, but there are other factors (as Lawler noted there are fewer distressed sales, less investor buying, and higher prices).

Related posts

Idiocy in Spain: Bank Proposal to Build More Houses, Issue More Mortgages, Despite Massive Inventory and Enormous Drop in Sales

Mish Global Economic Trend Analysis

Sky City: China to Build World’s Tallest Building, 220 Stories, in 90 Days

Mish Global Economic Trend Analysis

It’s No Wonder People Don’t Understand the “Public” Debt

Angry Bear

EU Budget Laugh of the Day “No One Is Discussing Quality”

Mish Global Economic Trend Analysis

Via Barry Ritholtz’s  Big Picture comes this PBS six minute …

Angry Bear

Politics and Specific Policies

Angry Bear