This is the LOWEST NUMBER SINCE REALTORS STARTED KEEPING TRACK IN 1991! HAHAHAHA. What recovery? The stock market is really looking ahead this time because financials and home builders keep on rallying and home sales keep on tumbling...and it's picking up steam!
Contracts signed in Feb were down 1.9% from Jan and 21.4% below
Feb 2007. The West fell 9/8%, South fell 5,5%, Midwest fell 3.7% and the East was up +3.5 East.
For us with a half of a brain, WITHOUT LOANS YOU CANNOT BUY HOMES. In CA, for example, we have lost 95% of the most widely used affordable/exotic loan programs. Nobody can afford a CA-priced home with a 7-8% 30-yr fixed jumbo. Unless they bring back all of the exotic loans, give everyone 100% raises or cut home prices in half, sales will continue to tumble. It is that simple. We now have historical loan programs back so we are going back to historical valuations of 3-4 times household income. CA is currently at 7-12 times depending on the area. We have a long way to go. -Mr Mortgage