Recovery Summer – Existing Home Sales Dive 27.2% lowest since 1995

obama-bow-japanHow’s that “Recovery Summer” thingy working out for you? In yet another sign this economy is headed towards a “double dip” recession, existing home sales plummeted 27.2% in July to an annualized pace of 3.83 million units from a downwardly-revised 5.26 million units in June. This is the lowest level in 15 years! Buying activity in the residential real estate market slowed dramatically in July, according to a report released Tuesday by the National Association of Realtors. The dramatic plunge is yet another sign the U.S. economy may be heading toward a slowdown or double-dip recession. According to Fox Business, existing home sales are now down 25.5% from July 2009 and have hit the lowest level since May of 1995.

“Consumers rationally jumped into the market before the deadline for the home buyer tax credit expired,” said Lawrence Yun, chief economist with NAR in a statement. “Since May, after the deadline, contract signings have been notably lower and a pause period for home sales is likely to last through September.”

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August 24, 2010 · Filed Under economy


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