Tim's Blog
9
Sep

Is the Current Pace of Home Sales Sustainable?

Is the Current Pace of Home Sales Sustainable? | MyKCM

There are some experts questioning whether the current pace of residential home sales is sustainable. Are too many people buying homes like in 2004-2006? Are we headed for another housing crisis? Actually, if we look closely at the numbers, we can see that we are looking at a very healthy real estate market.

Why the concern?

Some are looking at the last three years of home sales and comparing them to the three years just prior to the housing bubble. Looking at the graph below, we can understand that thinking.

Is the Current Pace of Home Sales Sustainable? | MyKCM

However, if we go further back in history, we can see the real picture. After taking out the “boom & bust” years, the pace of sales is growing at a quite natural pace.

Is the Current Pace of Home Sales Sustainable? | MyKCM

And new home sales are way below historic numbers. Trulia’s Chief EconomistRalph McLaughlin explains:

“Adjusted for population, [new home sales] are at about 63% of their fifty-year average level—way better than 2011, but nowhere near heated.”

Bottom Line

The current pace of residential home sales definitely seems sustainable.



Tim Helton
BRE 01436712, NMLS#256721
Mobile: 530-415-5309
Office: 530-741-1234
Website: Visit Website
eMail: Contact
Subscribe To My Blog

Welton Realty
602 D St.
Marysville, CA 95901
Blog Archives
Featured
Design & Contents Copyright © 2019 - AgentMarketing.com - All rights reserved - Websites Dedicated To Just One Home