Sales of previously owned homes increased 1.3 percent in July, breaking a four-month streak of monthly declines, according to new numbers from the National Association of Realtors. The improvement, while modest, was welcome. Lawrence Yun, NAR’s chief economist, says conditions are beginning to get better for buyers. “Despite the modest gain, home sales are still sluggish,” Yun said. “But consumers are definitely seeing more choices, and affordability is improving due to lower interest rates.” It’s true. Mortgage rates have been trending downward and just saw their third consecutive weekly decrease. And while prices continue to rise, an increasing number of available homes for sale should help slow future increases. As it stands, total housing inventory at the end of July was up 19.8 percent from one year ago. That offers buyers more homes to choose from while helping to moderate prices. (source)
