The Housing Roller Coaster
One day good news, one day bad news... such is the economic reality of our shakey recovery. After yesterday's report of a solid 15% jump in housing starts in June, we have bad news on a different housing front. Existing homes sales fell 0.8% in June, well below the expected 2.9% increase as forecast by a Reuters poll of economists. The rate is a seven month low, and is particularly frustrating after May's strong "pending sales" index mark. Contract cancellations spiked up to 16%, well above May's 4% rate, which helps explain the slow down.
Mortgage rates today remain the same: 30 year fixed 4.250% (4.416% APR), 15 Year Fixed 3.250% (3.560% APR), 5 Year ARM 2.375% (2.541% APR), 30 Year Jumbo 4.250% (4.375% APR).
