Sales of previously occupied homes rose 7.6% in August from July to a seasonally adjusted annual rate of 4.13 million per a statement from the National Association of Realtors, according to MSNBC.com. July was the worst month for sales in 15 years, so this is welcome news in the real estate industry.
High unemployment and a record number of foreclosures have kept the economy from gaining strength since the recession ended. Those factors have deterred many people from buying homes. Low prices and the cheapest mortgage rates in decades have not yet been enough to lift the housing market. Potential Buyers are still hesitant and nervous. They are afraid of seeing their investment go down.
Sales grew last month across the country and rose 8% in the Northeast. Hopefully, this will mark the beginning of the turnaround and Buyer confidence will increase as we head into the 4th quarter of 2010.