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Does this include all 'closings'? As Wells Fargo reported earlier this month (they are the largest mortgage bank in the country), 50% of their mortages in 2012 were refinancing due to the lowest interest rates in decades. Yes, nice to see the market improving, but I'm not certain of the statistics being reported.
Does this include all 'closings'? - It says Home "sales", not closings. Have you tried to get a mortgage or re-fi lately? Lenders are swamped due to low rates. Tried to find a decent home? Competition for the good condition, well priced home is fierce!
Limited supply? I see dozens of homes for sale every day, and things are still moving very slowly. My neighbor has their house for sale for what it was listed for in 1995, still no takers.
Home "sales" were up in 2012, that has nothing to do with mortgage refinances (although those were through the roof as well). Most realtors and builders I know had their best year since 2007 or 2008 this year and were profitable. Try to deny it all you want but facts prove the housing market improved greatly in 2012. Significantly more sales and higher prices. Hopefully that can continue going forward.
FrankL- Calling BS. The median home price in MSP in 1995 was $105,364 and in 2012 it was $181,500. If your neighbor couldn't get 1995 prices for their home in the hottest housing market in 5 years, there is something fundamentally wrong with the home. If it still has 1995 appliances and finishes, that could be a reason that nobody wants to pay top dollar. Another consideration is that they severely overpaid for their home in 1995.
Bouncing along the bottom. Lets see what happens if interest rates tick up and the banks start kicking up the foreclosures (although they are doing a good job now manipulating inventory not to flood the market).
Ah yes, the A/P writers are doing their best to make things look sweet when there are many curves coming up on that road. The shortage of nice homes will continue. You know why? Because so many baby boomers bought giant homes from 2000-20008. They are underwater with their mortages still and cannot afford to leave their homes nor get low rate interests that are out there if you qualify. Also, Dan Greenhaus may be wrong. The housing market may have stalled out now. And remember that almost all people just now suffered a 2 % cut in their pay due to the FICA tax restoration. And sales of one million dollar homes have surged by 62 % but I do not know one person who fits into that situation. How about some true numbers, sirs.
moretaxes, your the one spouting BS. Hottest market? Get real. Prices on most homes are still below their replacement cost. Builders I talk to shake their heads when people insist on a new home. Its like buying a car, the price is depreciated the day you take possession.
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