The National Association of Realtors (NAR), a major North American trade group for individuals who work in the real estate industry, has released data showing that sales of existing homes in the US declined by more than three percent in July 2016, the most recent month for which data is currently available. The decline brings the projected annual rate of home sales in the U.S. to just above 5.3 percent, which is a marked decrease from previous years.
One of the major reasons for the decline in home purchases in New Jersey, New York, Pennsylvania, and many other areas of the US is that there is an inventory shortage, with fewer and fewer homes being made available for sale. That’s a serious problem because the demand for homes remains incredibly high.
In fact, the high demand for real estate is actually another reason for the downturn in home sales across the US: real estate prices continue to rise, making it increasingly difficult for middle-class families to afford a down payment on a new home that is both satisfactory to live in and within their price range.
The suddenly struggling real estate market could have major implications for the economy, which had been enjoying a boost in recent months as a result of lower mortgage rates, increased home sales, and a resurgent job market.
For additional information, view the New Pittsburgh Courier article, “US Home Sales Fell in July amid Inventory Shortage.”
If you are struggling to cover the monthly mortgage payments on your home in New Jersey, or if you need help with a debt-related issue, you should speak to a qualified real estate and debt management lawyer. Joel R. Spivack, Esq., is an experienced real estate and debt relief attorney who can assist you throughout the home buying, home selling, or home foreclosure process. Contact Mr. Spivack today to schedule a free consultation.