Wednesday, October 24, 2007

September MIRS Report: Maybe not an anomaly

An article in today's NY Times hints that the awful September MRIS data I reported two weeks ago may not be an anomaly. NAR reported that sales of existing homes fell 8% in September, "the slowest rate in at least 8 years." Inventories rose to a 10.5 month supply.

In answer to my question whether the light at the end of the tunnel was a train headed our way, we're told:

"The bottom is just falling out," said Bill Hampel, chief economist of Credit Union National Association. Mr. Hampel said the outlook for the housing market remained grim. "Next month will be about as bad as this month," he said."

4 comments:

inthewings said...

So when will this be reflected in prices?

Love your blog.

Thanks for the hard work.

Keith said...

How about now? Prices are falling, it's a buyer's market.

inthewings said...

Where I am looking, in the close in suburbs of MoCo, SFH prices don't seem to be falling much at all. And certainly not in Upper NW DC.

They do seem to be staying on the market longer, and quite a few that I've been tracking are now Inactive -- not sure if they're sold or just pulled. But no real price cuts.

I'm not waiting for some mythical bottom of the market, we are saving and saving until we have a reasonable down payment means a reasonable PITI. But it would speed things up if prices came down!

Keith said...

Prices aren't falling and homes aren't selling because sellers haven't adjusted prices to what the market will bear. See my post on "stuff is worth what it's worth."

Time's on your side - keep saving and bide your time.