House Sales Drop 24% In January Compared With 2005

[Realistbear]

http://money.cnn.com/2006/02/28/news/econo....reut/index.htm

California home sales drop 24% in January

Decline reflects rising mortgage interest rates and weakening consumer confidence.

February 28, 2006: 7:26 PM EST

SAN FRANCISCO (Reuters) - California's housing market is slowing as analysts had predicted, underscored by a slump in home sales in January, according to the California Association of Realtors.

Sales of existing, single-family detached homes in California totaled 500,470 at a seasonally adjusted annualized rate in January, down 24.1 percent from a year earlier and 5.9 percent from December, according to the report from the association.

"We have now seen

three months in a row where sales have dropped more than expected

," said Robert Kleinhenz, an economist with the association. "At least some home buyers have adopted a wait-and-see attitude."

We have rising mortgage rates and weakening consumer confidence just like the mirror bubble on the West Coast which suggests we should soon be seeing the same pattern in the HPC develop?

Despite the falling demand they say prices are rising and will rocket by over 7% this year. If buyers are staying away how will this be accomplished? Doing a "Rightmove?"

Some evidence that they are massaging data in the US to cover up the crash:

http://bubltrbl.blogspot.com/2006/02/i-hol...e-in-south.html

Edited March 1, 2006 by Realistbear

[Karen]

http://money.cnn.com/2006/02/28/news/econo....reut/index.htm

California home sales drop 24% in January

Decline reflects rising mortgage interest rates and weakening consumer confidence.

February 28, 2006: 7:26 PM EST

SAN FRANCISCO (Reuters) - California's housing market is slowing as analysts had predicted, underscored by a slump in home sales in January, according to the California Association of Realtors.

Sales of existing, single-family detached homes in California totaled 500,470 at a seasonally adjusted annualized rate in January, down 24.1 percent from a year earlier and 5.9 percent from December, according to the report from the association.

"We have now seen

three months in a row where sales have dropped more than expected

," said Robert Kleinhenz, an economist with the association. "At least some home buyers have adopted a wait-and-see attitude."

We have rising mortgage rates and weakening consumer confidence just like the mirror bubble on the West Coast which suggests we should soon be seeing the same pattern in the HPC develop?

Despite the falling demand they say prices are rising and will rocket by over 7% this year. If buyers are staying away how will this be accomplished? Doing a "Rightmove?"

Some evidence that they are massaging data in the US to cover up the crash:

http://bubltrbl.blogspot.com/2006/02/i-hol...e-in-south.html

Keep in mind January's weather was very nice too. Here in Nevada (down wind from Calif) we had temps in the 60s (15C) for 2 weeks. Going back to 35 (1C) was harsh.

It's now March. Tme to see the houses go up for sale and the 'spring bounce'. Should be an interesting show. I can't wait!