The pending sales for the Northeast region of the country were down 12.2 % from June-July. (Source: National Association of Realtors) Keep in mind that this time frame reflects the very beginning of the liquidity crunch in the mortgage market. That being said, I expect the numbers to worsen for July-August, when the money supply really dried up and lenders froze the availability of many risky loan programs.
On the bright side, the restriction on loan availability seems to be leveling off and there are mixed predictions as to what is in store for us at the next Fed meeting scheduled for September 18th. If the Fed reduces rates in conjunction with other efforts to ease the crisis, we should see a turnaround with respect to affordability and accessibility of financing.
Once again, I predict a great buying opportunity for the coming winter.
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Although the real estate slump has been knocking at our door for about 24 months the Woodlands project in Belmont MA has some how become immune to the venom.Summer time is a historically slow time to sell real estate do to every ones busy vacation schedule. In the past 24 months we have sold 29 units for a gross sales volume of about 37mill. that averages to 1.25m per home with an additional 4 million in options and upgrades for the project.What this says to me is that the old addage still stands. LOCATION!LOCATION!LOCATION!
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