The news media are all shouting this morning, mindlessly spewing more bad news . . .
December Existing Home Sales dropped 16.7%!
Well, yes existing home sales did fall in December. Home sales typically drop in December. December is usually kind of cold and snowy and icy, ya know? Then there's that whole pesky holiday season which retailers seem to have stretched out from October 1 through February 28. And also there was that federal first time home buyer's tax credit for $8,000 that was set to expire. We now know it was extended, but that announcement didn't come in time to help December's sales numbers.
Here's what they're not telling you when they scream "Home sales down; economy back on brink!"
- Existing Home Sales are UP 15% over a year ago.
- The media price of an existing home (nationwide) is $178,300, UP 1.50% over a year ago.
- Housing inventories are down to 3.29 million, their lowest reading since March 2006.
- (this language courtesy of two of our favorite Loan Officers, Mike & Betty Moshofsky of PrimeLending)
Everything is not coming up roses, but neither is the sky falling.
Take your morning news with a grain of salt as well as a cup of coffee. Realize there's another side to the story your media outlet presents.