US property sales have not seen the spring bounce one might expect, with transaction levels remain “essentially flat” in March 2014, according to the National Association of Realtors.
Sales gains in the Northeast and Midwest were offset by declines in the West and South.
Total existing-home sales slipped 0.2 per cent to a seasonally adjusted annual rate of 4.59 million in March from 4.60 million in February, 7.5 per cent below March 2013. Last month’s sales volume remained the slowest since July 2012.
The figures follow a period of slowdown in the market, as rising prices and rates reduce the affordability of homes and deter buyers.
Lawrence Yun, NAR chief economist, says: “There really should be stronger levels of home sales given our population growth. In contrast, price growth is rising faster than historical norms because of inventory shortages.”
Yun expects some improvement in the months ahead: “With ongoing job creation and some weather delayed shopping activity, home sales should pick up, especially if inventory continues to improve and mortgage interest rates rise only modestly.”
Source: The Movechannel