Existing month-to-month home sales increase for first time since September 2005 – Pacific Business News (Honolulu):

On Tuesday, the released its monthlyu reporton existing-home The report showed the firstg month-to-month increase since September 2005. Saleas of existing single-family homes, townhomes, condominiums and co-opsa rose to a seasonalluy adjusted annual rateof 4.77 million units in May, a 2.4 percent increase from 4.66 milliob in April, according to NAR. The May 2009 figures are 3.6 percengt lower than a year ago, when the pace was 4.95 In the announcement, NAR’s chief Lawrence Yun, said low mortgage rates, lower purchased prices and the federal tax creditfor first-timw buyers helped spur sales.
the increase in sales is less than expectes because poor appraisals arestalling transactions,” Yun said. “Pendingh home sales indicated muchstrongetr activity, but some contracts are falling througu from faulty valuations that keep buyers from getting a loan.” Whils existing home sales increased, mortgage originationas are coming in lower than previously On Monday, the lowered its forecastr of mortgage originations in 2009 by more than $700 citing lower purchase prices, more cash purchases, lower refinancingg rates and lower volume in the Fannie Mae and Freddie Mac Home Affordablre Refinance Program. The association now expects mortgage originationxs tototal $2.
03 trillion in 2009. As part of its the MBA studieshome sales. It is forecastingb 4.8 million existing home salewsin 2009, a 1.2 percenft decline from 2008, and 352,000 new home a decline of about 27 percent. “Median home prices for new and existing homes will likely continuerto fall, dropping by about 10 percentt from 2008 levels, but leveling off in 2010 as the economh improves,” the association’s chief economist, Jay Brinkmann, said in a writtenn statement issued Monday.

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