Existing Homes Sales Climb by 1 Percent (Median Price Soars!)

[Career Prole]

WASHINGTON - Sales of existing homes and condominiums rose by 1 percent in March to the third-highest sales pace on record, a real estate trade group reported Monday

The National Association of Realtors reported that existing home sales advanced to a seasonally adjusted annual rate of 6.89 million units last month, up from a February sales pace of 6.82 million units.

<snip>

Sales advanced in all parts of the country except the Northeast with the gains pushing the median price of an existing home to $195,000 in March, up 11.4 percent from a year ago. That was the biggest one-year percentage increase in the median sales price in more than two decades.
http://story.news.yahoo.com/news?tmpl=story&cid=509&ncid=749&e=2&u=/ap/20050425/ap_on_bi_ge/economy


$195,000?! 11.4% in one year?! In this economy?
Hoo, boy...bubble, bubble...

[Bush_Eats_Beef]

1. There was an article on the web the other day...

...about the number of non-U.S. buyers that are paying these prices. As "investments," as rental properties (most likely to stab U.S. renters already paying obscene monthly rents) as "vacation homes," as "retirement property," etc.

It was on MSNBC / CNN...don't remember which. Probably somewhere in "CNN Money."

They said that all of these international folks are having a ball because the U.S. dollar is so weak right now.

WHOOPEE.

:sarcasm:

[edhopper]

2. Agree about the bubble

I wonder if this was a larger or slower growth than expected. After last weeks devistating news on housing starts, does this reinforce that we might be seeing a slowdown, or is this counter to that?
And how much speculation is going on?

[silverlib]

3. Refinancing?

Is refinancing included in these numbers? are people upping the amount when they refinance? Numbers can be very misleading.

[unblock]

5. this is only actual sales. refinancing appraisals aren't used

i'm not even sure they're published.

[unblock]

4. existing home sales up in all parts of the country except the northeast

naturally, i own an existing home in the northeast....

[yodermon]

6. So what does this mean for me?

I want to sell my house, and buy a new one.

IF there is a "bubble" and it is going to soon "pop", does this mean I should 1) Sell my house ASAP. 2) Wait for the "bubble" to "pop" (ie., rent for a while), 3) Buy low.

Is that what this means?
I have no head for any economic matters at all.

[ender]

8. existing homes...

are considerred a hedge against falling new home prices. they are generally in established, old-line neighborhoods and are much less speculative.

in downturns, old homes hold their value, or make slight gains (in true downturns, they make fairly big gains, actually)...

[TahitiNut]

7. In a related announcement, Busholini statisticians discover ...

... after hours and hours of in-depth research at a cost of $20 million taxpayer dollars, that March 2005 was more than 10% longer than February 2005. :dunce:

[AlCzervik]

9. I'd like to know how they are financed, whether it's mostly

traditional 30 year fixed or the newer 0 down interest only adjustable.