Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WASHINGTON, DC-Even as the housing market recovery continues gathering steam, there are signs of the recovery faltering. Although National Association of Realtors data showed that existing home sales—including condominiums and co-ops along with single-family houses—rose 6.5% in July from the month before, US Commerce Department figures issued Friday showed sales of newly built product dropped more than twice as fast as those of previously owned homes increased, losing 13.4% to 394,000. The specter of rising interest rates may have both helped existing home sales and hindered transactions involving new stock.

NAR’s chief economist, Lawrence Yun, alluded to this in comments on the July spike in existing home sales. “Mortgage interest rates are at the highest level in two years, pushing some buyers off the sidelines,” he said last week. “The initial rise in interest rates provided strong incentive for closing deals. However, further rate increases will diminish the pool of eligible buyers.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?



Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.