WASHINGTON (MNI) – The following is the Beige Book section on the
Federal Reserve’s First District, published Wednesday:
Residential Real Estate
Sales figures for single-family homes and condos continued to come
in below their year-earlier levels in August. Contacts throughout New
England say the expiration of the tax credit coupled with a weak economy
has slowed the housing market. Meanwhile, the median prices of homes and
condos rose in August compared to last year, except in New Hampshire
where the median home price slipped 2.7 percent. Inventory continues to
rise throughout the region; most contacts interpret the increasing
number of listings as a sign of confidence among sellers. Contacts in
Massachusetts and Rhode Island believe the greater choice of inventory
may help draw buyers into the market; by contrast, very high levels of
inventory in New Hampshire are causing concern.
Pending sales figures for Massachusetts suggest that September’s
final sales will also be below a year ago. Contacts around the region
forecast flat sales or continued year-over-year declines for the rest of
2010. As of August, all six New England states report year-to-date home
sales above last year, but most contacts expect that by the end of the
year the total number of sales will be about even with 2009.
** Market News International Washington Bureau: 202-371-2121 **
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