US August existing home sales 5.33m vs 5.45m expected


    Shutterstock photo

    Existing home sales data from the National Association of Realtors

    • Prior was 5.39m (revised to 5.38m)
    • Sales down 0.9% m/m vs +1.1% exp
    • Median sale prices $240K, +5.1% from Aug 2015
    • Inventory of homes for sale 2.04 million, or 4.6 months

    Despite two months of declines, sales remain near the post-crisis highs.

    Lawrence Yun , NAR chief economist, says recent job growth is not yielding higher home sales. "Healthy labor markets in most the country should be creating a sustained demand for home purchases," he said. "However, there's no question that after peaking in June, sales in a majority of the country have inched backwards because inventory isn't picking up to tame price growth and replace what's being quickly sold."

    Added Yun, "Hopes of a meaningful sales breakthrough as a result of this summer's historically low mortgage rates failed to materialize because supply and affordability restrictions continue to keep too many would-be buyers on the sidelines."

    He also lamented the lack of construction of new homes.

    The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

    This article appears in: Investing , Forex

    More from ForexLive




    Follow on: