Home prices and sales dropped in September, according to what the National Association of Realtors (NAR) tells nationalmortgagenews. As mortgage rates hovered around 4.5 percent and inventories remained low, sales of existing single-family homes dropped to a seasonally adjusted annual rate (SAAR) of 5.3 million, down from 5.4 million in August. Although sales have increased 11 percent from a year ago and have remained above the SAAR of five million the past five months, NAR Chief Economist Lawrence Yun does not expect them to improve in the coming months, noting the government shutdown has delayed loan processing. Stephanie Karol and Patrick Newport, IHS Global Insight economists, say, “The government shutdown has had a negative impact on consumers’ sentiment and contributed to an atmosphere of uncertainty, both of which make Americans less comfortable with making such a large purchase.” As MHProNews has learned, the median price of an existing home fell five percent from the prior month to $199,200 in Sept.
