The N.A.R. reported today that pendings dropped 1% month-over-month, but as been the case lately, Yunnie is broadcasting the least-alarming data. In the graphic above, you can see that the year-over-year drops were much larger – particularly in the west.
In this video, he explains that ‘unaffordability’ is the problem in the west, and we need to build more homes:
Their graph below shows how pendings usually go up from January to February, except for this year – which Yunnie shrugged off to a big gain last month:
Both Yunnie and the chief economist for First American say that we have supply shortage, but that isn’t true around here.
We have about 12% more NSDCC houses for sale today than at the end of March last year, and 7% fewer pendings.
What we should be hearing is that the struggle to sell is real, and being sharper on price and/or getting homes in better condition are the keys.
As someone once said “Price will fix anything!”
Supply is there, it’s just not the right priced supply for the masses. If car dealerships only had Mercedes and BWMs on their lots, their sales would go down too!