Buying & Selling: 38 States See Home Sales Plummet

How long do you think that cord will hold, eh?

Courtesy of the AP's Martin Crutsinger:

WASHINGTON - Sales of existing homes fell in 38 states during the summer, led by steep declines in Nevada, Arizona, Florida and California, as the once-booming housing market showed further signs of a steep slowdown.
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The declines were the largest in once-booming areas of the country. Sales fell by 38 percent in Nevada, 36 percent in Arizona; 34.2 percent in Florida and 28.6 percent in California.

My question is this: How can the NAR have any credibility to push their "Buy or die" campaign? How can we believe that we've hit bottom yet? This is not to mean that people shouldn't buy, or that prices won't stabilize, but in the face of all evidence, it seems that we've got a ways to go yet before we hit the floor.

I don't know how many more times the bloggers and the experts have to lock horns before we achieve consensus on this issue--the market has got to tighten up, and that means removing all the excess inventory. For that to happen, prices have to drop further. Until the NAR returns from Bizarro World, the consensus will remain as idle a dream as buying a 2-bedroom home in D.C. that isn't in a "transitional" neighborhood. :)

Posted at November 20, 2006 02:29 PM

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How long do you think that cord will hold, eh? Courtesy of the AP's Martin Crutsinger: WASHINGTON - Sales of existing homes fell in 38 states during the summer, led by steep declines in Nevada, Arizona, Florida and California, as the once-booming housing market showed further signs of a steep slowdown. ADVERTISEMENT The National Association of Realtors reported that sales dipped to a seasonally adjusted annual rate of 6.27 million units nationwide, down by 12.7 percent from the same period a year ago. The declines were the largest in once-booming areas of the country. Sales fell by 38 percent in Nevada, 36 percent in Arizona; 34.2 percent in Florida and 28.6 percent in California. My question is this: How can the NAR have any credibility to push their "Buy or die" campaign? How can we believe that we've hit bottom yet? This is not to mean that people shouldn't buy, or that prices won't stabilize, but in the face of all evidence, it seems that we've got a ways to go yet before we hit the floor. I don't know how many more times the bloggers and the experts have to lock horns before we achieve consensus on this issue--the market has got to tighten up, and that means removing all the excess inventory. For that to happen, prices have to drop further. Until the NAR returns from Bizarro World, the consensus will remain as idle a dream as buying a 2-bedroom home in D.C. that isn't in a "transitional" neighborhood. :)