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Existing Home Sales Surge 10.1%

By Judi Desiderio, Tuesday, December 01, 2009
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Existing-home sales, which include single-family, townhouses, condominiums and co-ops, rose 10.1% to a seasonally adjusted annual rate of 6.1 million units in October from 5.54 million in September… and 23.5% more than the 4.94 million units sold in October 2008. This is the greatest pace since it hit 6.55 million in February 2007.

Here in the Northeast existing-home sales increased 11.6% to 1.06 million in October. This is 28% higher than the previous year.

All good news for the US economy as sales of existing homes result in an increase in materials, labor and therefor increased owner equity, jobs and consumer spending.

The National Association of Realtors chief economist, Lawrence Yun, surmised, “Many buyers have been rushing to beat the deadline for the first time buyer tax credit that was scheduled to expire at the end of this month {this has since been extended}, and similarly, robust sales may be occurring in November. With such a sale spike, a measurable decline should be anticipated in December and early next year before another surge in spring and early summer.”

Mr. Yun is, of course, referring to real estate nationally, it is my opinion that here in the Hamptons & North Fork we will experience another surge in the 1st quarter of 2010 due to Wall Street bonuses.