The good news in July's statistics include:
- The absorption rate (rate of sales to inventory) fell to 7 months in the Cincinnati area. This is the lowest rate in 3 years.
- The number of year over year July sales increased by 150.
- On a national level, existing home sales increased for the 4th month in a row. The first time that has occurred in 5 years.
- Single family home starts increased 1.7% to an annual rate of 490,000.
- The Case-Schiller price index reflected a 3% gain for the April - June period. The first quarterly increase in 3 years.
- The first-time buyer credit deadline is bringing more buyers into the market, but primarily at the lower end of the market. No one is sure what will happen when the credit ends.
- Large banks are holding foreclosures off the market while attempting loan modifications. Inventory levels are expected to increase as they end a self-imposed moratorium. Foreclosures are likely to pervade the market as banks work through remaining subprime and adjustable rate mortgages, with a peak in foreclosures around the fall of 2010.
For a detailed look at July stats, see the charts below: