www.lasvegasmtg.com Report: Hud Secretary Shaun Donovan is worried on the decline in July housing numbers

By
Mortgage and Lending with All Western Mortgage Broker # 14210

HUD Sectretarywww.lasvegasmtg.comReport: HUD Secretary Shaun  Donovan is worried on the decline in July housing numbers during an interview on CNN today.  Shaun Donovan stated on the State of the Union interview " the July housing numbers were worse then expected, and we are concerned." Shaun Donovan stated " The Administration will be taking immediate action to move forward."

The Administration will implement two new FHA (Federal Housing Authority) refinance programs to help struggling home owners to pay their mortgage and to help the unemployed home owners stay in their homes. With a firm commitment from Shaun Donovan " We are going to continue to make sure folks will have access to home ownership."

With National Association of Realtors July 25th report showed a larger then expected decline in July of 27% decline of existing home sales. Economist's had predicted a 12% decline and the new data shows that the housing market is fragile. How much of the decline was due to the first time home buyers $8,000.00 tax credit being eliminated in April 30th 2010 is hard to quantify. If the tax credit was responsible for the 9 month increase in existing housing sales was it pushing people to buy their home earlier to collect the credit then what they would have without the credit?

Will the Administration re-institute the tax Credit is something Shaun Donovan has not ruled out, but in this Election year it will be difficult if not impossible to do.

Existing Single Family Home Sales Courtesy of NAR

Year   U.S. Northeast Midwest South West
2007   4,939,000 723,000 1,181,000 2,053,000 982,000
2008   4,350,000 623,000 1,022,000 1,721,000 984,000
2009   4,566,000 641,000 1,067,000 1,745,000 1,113,000
    Seasonally Adjusted Annual Rate
2009  Jul   4,530,000 660,000 1100000 1,740,000 1,030,000
2009  Aug   4,480,000 660,000 1,040,000 1,700,000 1,080,000
2009  Sept   4,930,000 710,000 1,180,000 1,880,000 1,160,000
2009  Oct   5,230,000 750,000 1,260,000 2,030,000 1,190,000
2009  Nov   5,710,000 830,000 1,400,000 2,150,000 1,330,000
2009  Dec   4,760,000 660,000 1,050,000 1,820,000 1,230,000
2010  Jan   4,430,000 600,000 980,000 1,690,000 1,160,000
2010  Feb   4,360,000 610,000 1,010,000 1,640,000 1,100,000
2010  Mar   4,700,000 650,000 1,110,000 1,770,000 1,170,000
2010  Apr   5,060,000 790,000 1,220,000 1,940,000 1,110,000
2010  May   4,980,000 660,000 1,210,000 1,940,000 1,170,000
2010  Jun r  4,620,000 660,000 1,110,000 1,790,000 1,060,000
2010  Jul p  3,370,000 470,000 730,000 1,380,000 790,000
  vs. last month: -27.1% -28.8% -34.2% -22.9% -25.5%
  vs. last year: -25.6% -28.8% -33.6% -20.7% -23.3%
                  year-to-date:     

 

 

Posted by

         Kenny Salame                                                                                                  Equal Housing

Kenny Salame
Senior Loan Officer
All Western Mortgage Inc.
8345 W. Sunset Rd.
Suite 380
Las Vegas, NV, 89113
US                            
Mobile: 702--506-3301
Direct: 702-947-0609
Office: 702-369-0905
Fax: 702-952-0887
ksalame@allwesterm.com
 
 
 
 
 
 

Comments (4)

Dan Pittsenbarger
Keller Williams Western Realty - Bellingham, WA
Improving Conditions

I'm surprised that anyone would expect anything different. Of course the tax credit program shifted 2nd, 3rd and 4th quarter buyers into the first quarter.

Aug 29, 2010 07:39 AM
Kenny Salame
All Western Mortgage Broker # 14210 - Las Vegas, NV
NMLS ID 313873

Dan,

It is ironic that some in this profession do not want to see this incentive to be returned. Other feel without it there will not be any recovery. Without a housing recovery unemployment cannot recover.

Aug 29, 2010 08:20 AM
Renée Donohue~Home Photography
Savvy Home Pix - Allegan, MI
Western Michigan Real Estate Photographer

Hate to be a negative nancy but this is bad.  I had a buyer give me 10 properties to show him yesterday.  All ten were still (and are still) available today.  Last yaer we dealt with multiple offers, stolen keys, lines to get into show homes.  Now the crickets are chirping and our inventory is gathering dust.  I smell another decline.  Not bad but.....

Sep 01, 2010 01:09 PM
Kenny Salame
All Western Mortgage Broker # 14210 - Las Vegas, NV
NMLS ID 313873

Renee

You are correct that we might see a slow down in the recovery of prices. Read my follow up article.

Sep 01, 2010 04:21 PM