The National Association of Realtors (NAR) reported existing home sales fell to the lowest level in January since July 2012 as low inventory sent home prices higher. Total existing home sales fell 5.1 percent to a seasonally-adjusted annual rate (SAAR) of 4.62 million last month from 4.87 million in December, 2013. It was also 5.1 percent below the 4.87 million pace set in January 2013, according to housingwire.com, the lowest level of activity since the 4.59 million pace of July 2012. As Lawrence Yun, NAR’s chief economist tells MHProNews.com, even though severe weather definitely affected sales, “We can’t ignore the ongoing headwinds of tight credit, limited inventory, higher prices and higher mortgage interest rates. These issues will hinder home sales activity until the positive factors of job growth and new supply from higher housing starts begin to make an impact.” ##
