Existing Homes Selling Quickly

[flip_it_fast]

I just read that existing homes are selling at a very fast pace which is great news. The article said they are selling at a record pace.

They believe that this is happening because of first-time buyers taking advantage of the government tax credit and conditions for affordability have improved.

In June, sales of previously owned homes were up by 7.2% and in July they were up by 5% compared to last year. Thats the largest jump on existing home sales since 1999!

The lower prices of exisiting homes has made a big difference in the amount of sales. Prices have fallen by more than 32% since they hit their high in 2006. Right now, the cost of purchasing a home is the lowest it's been in almost twenty years.

"The housing market has decisively turned for the better," said Lawrence Yun, NAR's chief economist. "A combination of first-time buyers taking advantage of the housing stimulus tax credit and greatly improved affordability conditions are contributing to higher sales."

CnnMoney

This is wonderful news for families looking to buy a house, maybe not so good for those wanting to make a good profit. The profits are still there for flippers though, you just have to be cautious with what you put money into.