Monthly Archives: July 2014

Don’t Count Out the Real Estate Rebound Just Yet


The June existing home sales report from the National Association of Realtors showed a pickup in sales to an annualized pace of 5 million for the first time since October of last year. According to Lawrence Yun, NAR Chief Economist, housing fundamentals are moving in the right direction with existing supply helping balance out the market. Even as the housing market improves and prices rise around the country, other economists are worried rising interest rates could derail the nascent recovery.
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Fed Faces Interest Rate Dilemma in October – QE Set to Expire Soon

printed money

Minutes released from the July 17-18 Federal Reserve policy meeting indicate the most aggressive phase of accommodative monetary policy has run its course. A tentative deadline of October was set to shut the door on a highly controversial third round of quantitative easing (QE) that tested the limits of the central bank’s balance sheet.
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Housing: May Real Estate Activity Justifies Renewed Optimism for Some, Worry for Others


The number of US homebuyers who signed purchase contracts shot up 6.1% in May, blowing away market expectations. A number of factors may be at work given that home sales are still below 2013’s levels. Economic weakness felt earlier this year was blamed on a harsh winter, so the rebound may be partially rooted in improving economic activity as buyers and sellers thaw out. But given the often local nature of real estate, weather can’t explain everything. Higher mortgage rates in the first quarter also held the market back. As rates decreased over the past few months, buyers became more aggressive.
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