From the Wall Street Journal (as reported by media outlets far and wide today):
Home resales dropped a record 27.2%–nearly twice as much as analysts had expected–to an annual rate of 3.83 million in July, the National Association of Realtors said Tuesday. Meanwhile, inventories rose to 12.5 months from 8.9 months in June, pressuring already depressed home prices.
We certainly don’t enjoy reporting today’s market conditions (the data don’t lie, you know…), but maybe the aforementioned analysts should have attended last month’s webcast about US Housing in a post-stimulus world. Here’s the key takeaway from the presentation – inventory is up and exits are down.
Meanwhile, more active sellers are taking price reductions and new sellers hitting the market are price lower than their competition: