From CoreLogic: Cash Sales Made up 40 Per cent of Total Home Sales in February
Cash sales made up 40.2 per cent of total home sales in February 2014, down from 43.7 per cent the previous year and 40.8 per cent the previous month. Cash sales share comparisons should be made on a year-over-year basis due to the seasonal nature of the housing market , and by that measurement, the trend in cash sales is clearly down. Prior to the housing crisis, the cash sales share of total home sales averaged approximately 25 per cent. The peak occurred in January 2011, when cash transactions made up 46.2 per cent of total home sales.
And a post from Sam Khater at CoreLogic: REO Inventory Rising Once Again
After reaching a trough in August of 2013 of 375,000 properties, the number of real estate owned (REO) properties increased 15 per cent to 430,000 as of March 2014 (Figure 1). The increase in REO properties was broad based, rising in 46 states. While the increase was moderate nationally, some states had large increases. Idaho led the way with the stock of REO properties nearly doubling between August 2013 and March 2014. Maryland had the 2nd largest increase in the number of REO properties, which increased 78 per cent, followed by Nevada (up 70 per cent), Oregon (up 47 per cent) and North Dakota (up 42 per cent).
The rise in REOs across most states reflects several inter-related factors …
This graph from CoreLogic shows the recent increase in REOs.
Note: The number ofREOs at Fannie and Freddiewas down slightly in Q1, but has increased in recent quarters. The FDICreporteda slight decrease in REOs in Q4 (dollars). So most of the recent increase in REOs reported by CoreLogic was probably due to private label (the worst of the worst).
More from Calculated Risk:
- Amusing: A False Story on Auto Inventory
- Weekly Update: Housing Tracker Existing Home Inventory up 6.8% year-over-year on May 19th
- CoreLogic on Housing: “Cash Sales Share Shows Clear Downward Year-Over-Year Trend”
- LA area Port Traffic: Up year-over-year in April
- Congratulations to Breanna Grow, the 2014 recipient of the Doris “Tanta” Dungey scholarship!
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