May Home Sales in Northeast Continue to Rise over 2009

As expected because of the end of the tax credit April 30, the numbers for home sales in May declined 2.2% from April.  But NAR (National Assn of Realtors) reported that existing-home sales remained at elevated levels in May, characterized by stabilizing home prices and historically low mortgage interest rates. Gains in the West and South were offset by a decline in the Northeast; the Midwest was steady.  Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, were at a seasonally adjusted annual rate of 5.66 million units in May, down 2.2% from an upwardly revised surge of 5.79 million units in April

Lawrence Yun, NAR chief economist, said he expects one more month of elevated home sales. "We are witnessing the ongoing effects of the home buyer tax credit, which we'll also see in June real estate closings."
 
The national median existing-home price for all housing types was $179,600 in May, up 2.7% from May 2009. Distressed homes decreased to 31% of sales last month, compared with 33% in April; it was also 33% in May 2009.
 
More figures from NAR showed first-time buyers purchased 46% of homes in May, down from 49% in April. Investors accounted for 14% of transactions in May compared with 15% in April; the remaining sales were to repeat buyers. All-cash sales were at 25% in May, edging down from 26% in April.
 
Regionally, existing-home sales in the Northeast fell 18.3% to an annual level of 890,000 in May from a surge in April, but are 12.7% higher than a year ago. The median price in the Northeast was $240,200, down 2.2% from May 2009.
 
Home sales in New Jersey continue to be a buyer's real estate market.  Contact me for ideas on how you can get look at some great bargains in Mercer County homes for sale.
 
Joe Giancarli, Sales Associate
609-658-2612
jgiancarli@remax.net
http://www.joegiancarli.com/
http://www.njhomesource.com/
http://www.newjerseynewhomes.blogspot.com/