Home sales probably increased in August, a sign the U.S. real estate market is stabilizing after the expiration of a tax credit might have caused demand to plunge, economists said before reports on the housing market this week. Purchases of new and previously owned homes rose 7.1%, to a combined 4.395 million annual pace, according to the median forecast in a Bloomberg News survey. A separate report could show orders for long-lasting goods, excluding transportation equipment, rebounded last month. “Housing is in a fragile bottoming process,” said Aaron Smith, a senior economist at Moody’s Analytics in West Chester, Pa. Projected gains in home sales and durable goods are “consistent with stabilizing growth, albeit it at a slower” pace than earlier this year, he said.
Expected rise in home sales may show a stabilizing market
September 20, 2010, 9:56am
Jacob Gaffney is formerly Editor-in-Chief of HousingWire and HousingWire.com. He previously covered securitization for Reuters and Source Media in London before returning to the United States in 2009. While in Europe for nearly a decade, he covered bank loans and the high yield market, in addition to commercial paper, student loan, auto and credit card space(s).see full bio
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Jacob Gaffney is formerly Editor-in-Chief of HousingWire and HousingWire.com. He previously covered securitization for Reuters and Source Media in London before returning to the United States in 2009. While in Europe for nearly a decade, he covered bank loans and the high yield market, in addition to commercial paper, student loan, auto and credit card space(s).see full bio