July Home Sales Slip 35%
The rush to buy homes before the federal tax credit program for housing expired on April 30 caught up with sales (closings) in July. March closings were up 15%, April 34%, May 26%, and June 8%. But July, off 35%, broke that string of gains. Overall, for the first seven months of the year, sales are still up 3% (10,816 compared to 10,495 the same period one year ago). The spring buying simply accelerated sales from summer buying.
The same thing happened after the nationwide car rebate program expired Nov. 30. Qualified car buyers got a discount up to $4,500 if they turned in older cars and bought a new car. That upped sales for a brief while, but crimped sales immediately thereafter, before it eventually balanced out and auto sales continued their growth. The same scenario is expected for housing sales.
Although July home sales declined, the average selling price held up at $164,424 compared to $164,204 a year earlier.
For people buying now, they have been given the gift of low mortgage interest rates! A home mortgage now averages 4.56% for a 30-year fixed rate loan. That’s the lowest cost for home loans since they started keeping records in 1971. Compared to a year ago, when mortgages were at 5.45%, a buyer now saves about $55 a month for every $100,000 of home loan.
Take advantage of todays buying opportunites and and call us today for a private showing of your favorite listing in the Cincinnati area! Team Annett: 513-527-3060, firstname.lastname@example.org .
Team Annett Office