CBS4.com staffers show off events in South Florida
Aug 25, 2008 5:55 pm US/Eastern
July Home Sales Better Than Expected
Sales Increase Of 3.1-Percent In July
WASHINGTON (CBS4) ―
Buyers snapped up deeply discounted properties last in parts of the country hardest hit by the housing bust. The National Association of Realtors reported sales of existing homes rose more than 3-percent in July.
This news was better than expected for economists which had only expected a 1.6-percent increase.
"I think we have had a lot of sellers get more realistic in terms of pricing and bring their home price down and buyers are getting off the fence to make that purchase," said Hollywood Realtor Ellen Bithell.
"Between 33 and 40 percent of sales activity is coming from foreclosures or other distressed properties," said Joel Naroff, president of Naroff Economic Advisors.
Despite the increase in sales, the number of unsold properties, 4.67 million, was the highest number since 1968, when the Realtors group started tracking the data.
Prices nationwide are not expected to hit bottom until early next year.
One key unknown in the future of the housing market will be the viability of mortgage finance companies Fannie Mae and Freddie Mac. The two government-sponsored companies have dramatically cut back the availability of mortgages as they cope with mounting losses from foreclosures. President Bush last month signed sweeping housing legislation that aims to prevent foreclosures by allowing an estimated 400,000 homeowners to swap their mortgages for more affordable loans, but only if their lender agrees to take a loss on the initial loan.
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
A Tale Of Brave Knights, Buxom Beauties
Click to enlarge
I-Team: Tracking The Florida Stimulus Money Trail 
Stumble It!
