Home sale statistics

The US Commerce Department reported today that new home sales fell 10.2% in January, which is a record low.

The National Association of Realtors reported that sales of existing homes fell 5.3%.

What does this mean?  The American Recovery and Reinvestment Act has its work cut-out for it.

Everyone agrees that things are likely going to get worse before they improve.  Eight hundred billion dollars and change might not be enough to make an impact worth noting.

Progress should be celebrated, although it makes me wonder how much more money we’ll have to print to make the government program work.  Printing more money is easy, but creating a bailout mentality for America is the part where I take exception.

If we eliminate the efficiency of capitalism, the smart money will eventually go elsewhere. Until that happens, we are living in one of the best times to buy real estate in the history of the United States.  The smartest people I know are buying as much real estate as they can.  The first-time home buyer tax credit makes it easier for many people.  Our record low mortgage interest rates help too.

www.mangledmortgage.com

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