Home > In Focus > Real Estate News
The real estate sector has enjoyed several months of steady gains with help from a popular government tax credit.
Members of Congress are widely expected to approve an increase in the $8,000 tax credit for first time homebuyers into next year. The tax credit was initially set to wind down at the end of November, helping to fuel a bust of last-minute buying activity.
According to the Pending Home Sales Index from the National Association of Realtors, pending home sales have now increased for eight consecutive months, and its index increased 6.1 percent in the last month alone. The organization also noted that the year over year gain recorded in the index is the largest such increase on record.
"Home values will stabilize sooner rather than over-correcting. That, in turn, will mean wealth stabilization for the vast number of middle-class families and lay the foundation for a durable economic recovery," said NAR chief economist Lawrence Yun.
New government figures also indicate that construction spending rose 0.8 percent last month, offering a further sign of encouragement for a pending recovery.
By Steve Monfort
Real estate industry has more reason for optimism
The real estate sector has enjoyed several months of steady gains with help from a popular government tax credit. Members of Congress are widely expected to approve an increase in the $8,000 tax credit for first time homebuyers into next year. The tax credit was initially set to wind down at the end of November, helping to fuel a bust of last-minute buying activity.
According to the Pending Home Sales Index from the National Association of Realtors, pending home sales have now increased for eight consecutive months, and its index increased 6.1 percent in the last month alone. The organization also noted that the year over year gain recorded in the index is the largest such increase on record.
"Home values will stabilize sooner rather than over-correcting. That, in turn, will mean wealth stabilization for the vast number of middle-class families and lay the foundation for a durable economic recovery," said NAR chief economist Lawrence Yun.
New government figures also indicate that construction spending rose 0.8 percent last month, offering a further sign of encouragement for a pending recovery.
By Steve Monfort
