Having fallen for four straight months, analysts expected a modest 1.7% MoM rebound in June’s existing home sales (despite tumbling mortgage apps and crashing homebuyer sentiment?). They were right but the print disappointed, rising just 1.4% MoM, and notably weaker than that given the downward revision in May to -1.2% MoM from -0.9% MoM
Source: Bloomberg
The relative shift leaves existing home sales unchanged from April…
Source: Bloomberg
Notably, “investors” made up a far bigger chunk of buyers than last month (14% vs 9% in May).
Median home price rose 23.4% from last year to $363,300, an all-time high…
Source: Bloomberg
“At a broad level, home prices are in no danger of a decline due to tight inventory conditions, but I do expect prices to appreciate at a slower pace by the end of the year,” Lawrence Yun, NAR’s chief economist, said in a statement.
Supply in June rose very marginally from 2.5 months to 2.6 months.
Finally, we note that while housing data has been serially disappointing for months, homebuilder stocks have soared…
Source: Bloomberg
Of course, while homebuilder sentiment slipped to an 11-month low, it remains in a vapid reality of its own relative to their customers…
Source: Bloomberg
But, hey, start talking about talking about tapering Jay!
