|Issue of the Day Posts Tagged ‘Commercial Construction’|
Housing Prices Slow Their Decent in May According to Index
Published Wednesday, July 29th, 2009 by Lacey Loftin
In the last week, there has been some good news and bad news in the housing market, depending on whether you are a buyer or seller. For the seller, the good news comes from the Case-Schiller 20-City home price index: existing housing was up 0.5% in May over April, the first increase since April of last year. This means that housing prices were falling at a slower pace in May than in April. Also, new-home sales spiked 11% in June over May, which is remarkable giving the market’s slump in June, the worst month since 1982. Yet, many are finding that their homes will not sell in such a tough market, which may have contributed to the number of residential renovation permits to jump 10-15% in the last 18 months. For the buyer, the glut in the market, while good for a while, has now begun to impact median prices as demand increases.
Also, overall new commercial and residential construction spending during May 2009 was estimated at a seasonally adjusted annual rate of $964 billion, which is 0.9% below the revised April estimate and 11.6% below the May 2008 estimate of $1090.7 billion. Of that number, residential construction was at a seasonally adjusted annual rate of $240.2 billion in May, 3.4% below the revised April estimate of $248.8 billion, adding to the lower value of newly constructed homes.