According to the National Association of Realtors, existing home sales fell 1.3% in July. This is the lowest sales figure in 11 months.
Liquidity moves markets!Follow the money. Find the profits!
But what is noticeable is the rise in median existing home prices (zooming upwards) relative to inventory (low). Sprinkle in The Fed’s zero interest rate policy and we have a party!
Here is the change in sales price broken down by price range. Homes under $250,000 actually declined in price while homes over $1 million rose by 19.8%.
Low inventory and excess liquidity sloshing around the economy is creating a home price squeeze.
Will Yellen show this chart at Jackson Hole?
Wall Street Examiner Disclosure:Lee Adler, The Wall Street Examiner reposts third party content with the permission of the publisher. I curate posts here on the basis of whether they represent an interesting and logical point of view, that may or may not agree with my own views. Some of the content includes the original publisher's promotional messages. I may receive promotional consideration on a contingent basis, when paid subscriptions result. The opinions expressed in these reposts are not those of the Wall Street Examiner or Lee Adler, unless authored by me, under my byline. No endorsement of third party content is either expressed or implied by posting the content. Do your own due diligence when considering the offerings of information providers.