Nevada City Virtual Tour

Wednesday, October 26, 2011

Homes Sales Data as of 10/28/2011

Here are the talking points from Case/ Shiller:

* Some improvement noted marking the fifth straight month that at least half of the cities in the survey showed monthly gains.

* The biggest price increases were in Washington, Chicago and Detroit. The greatest declines were in Atlanta and Los Angeles.

* The August data provides a “modest glimmer of hope” that some areas may have bottomed out and could be turning around, said David M. Blitzer, chairman of S&P’s index committee. He noted that cities in the Midwest — Chicago, Detroit and Minneapolis — have shown some strength since May.

* Overall home prices were “flat” and a recovery in the struggling housing market was not on the horizon. Over the past 12 months, prices have fallen in all but two cities. Detroit and Washington were the only two cities to show year-over-year gains.

* Given the overwhelming level of inventory that remains on the market .(banks shadow inventory).. further price declines seem almost assured to help clear the market.

* Prices are certain to fall again once banks resume millions of foreclosures that have been delayed because of a yearlong government investigation into mortgage lending practices.

* Home prices have stabilized in coastal cities over the past six months.

* Home prices in many cities, including Cleveland, Detroit, Las Vegas, Phoenix and Tampa, have reached their lowest points since the housing bust more than four years ago.

* Sales of previously occupied home sales are on pace to match last year’s dismal figures — the worst in 13 years. Sales of new homes fell to a six-month low in August and this year could be the worst since the government began keeping records a half century ago.

* Foreclosures and short sales — when a lender accepts less for a home than what is owed on a mortgage — makes up about 30 percent of all home sales last month, up from about 10 percent in past years. The large number of unsold homes and foreclosures are sending prices lower and hurting sales.

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