The recovery of the housing market is still a long ways off, according to CNBC.com, noting people who rushed to buy this summer will realize they have made a “grave mistake.” Existing home sales were down 1.9 percent in Sept., and revised figures for August, which is often the last good sales month of the season, show sales were flat. Another measure of the market, pending home sales, dropped 5.6 percent in Sept., the fourth month in a row it has declined, and it is down 1.2 percent year-over-year. The average home price in America is $180,000, as MHProNews knows. Using this number as a base, the Federal Reserve’s quantitative easing program has purchased the equivalent of 8.1 million homes, roughly 6.2 percent of the housing stock. When the Fed’s program begins tapering off, home prices will begin to fall.
