Lowest Home Sales Of The Year

by San Antonio Attorney

The spring season home sale is nearly over but the distressed housing market remains the same.

The sale of homes that had previous owners dropped in May, and prices fell 4.6 % from last year. There were a lot of homes but sales from first time buyers fell 35% from a year ago. First-timers normally drive 50 % of sales in healthy markets plus they’re important as they can develop their properties and bring in money into their communities. Those two factors help lift values of homes.

Everything suggests that the real estate market is still unstable and is probably going to continue to be a difficult burden to the economy.

New York RBC Capital Markets chief economist Tom Porcelli said that the housing market problems are going to persist and they will still be dragging on the nation’s economy this year up until next year.

According to the National Association of Realtors, the sales decreases 3.8 % every month to a yearly rate of 4.81 million properties, this is the lowest from November.

Last month was the second month of continuous declines in housing resale, although below the 5.9 percent decline to a 4.80 million-unit rate that economists had predicted.

Even though the drop of the last month’s sales was partly a result of terrible weather in certain parts of the U.S., it emphasized the weakness of the housing market.

The data was also the most recent report to pinpoint the weakness in the economy through the last quarter, which was evident in the sudden decline in the activities of regional factories, weak retail sales and poor employment growth rate.

The unsold homes are flooding due to a large number of foreclosures that induce the decline of property values.

Although economists’ believe that sales will increase in the third and fourth quarter, they say that a higher down payment requirement can have a dismal effect.

Taking advantage of sales is a great way to save money.  Although if your financially strained even a “good deal” is too much.  Getting the help of a San Antonio Bankruptcy, can help with debt issues.  Contact an attorney for more information.

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