| A market price of any product is determined | | | | price was up by 0.3% from the last year. This |
| by several factors. In real estate industry, | | | | was accompanied by the backlog clearance of |
| the price of a house is always vulnerable to | | | | unsold homes by 4.2% from previous months. |
| faltering financial conditions of the market. | | | | Though the industry faced a slower sales |
| The housing sale is the most influencing | | | | rate, yet the inventory stayed on at 8.8 |
| factor in determining its price. In recent | | | | monthly supplies. |
| times, the wavering housing sale is being | | | | |
| expected to leave a deep trace in housing | | | | The threat of rising foreclosure, the bad |
| price. | | | | market for the subprime borrowers, the |
| | | | declining rate of home sales and mixed |
| The recently published House Price Index | | | | information to the buyers became the reasons |
| report of Office of Federal Housing | | | | for the more decline in housing sales. In |
| Enterprise Oversight (OFHEO), declares that | | | | June 2007, there was a falling of housing |
| there is price appreciation of 0.5% higher | | | | inventory. It was supported by a noticeable |
| than the fourth quarter of the last year. | | | | rise of housing prices. This became the first |
| This is recorded to be the lowest rate since | | | | instance in the last 11 months when the |
| 1998. The price appreciation comparison of | | | | median home price grew higher than the |
| this first quarter report of 2007 with the | | | | previous year's. |
| previous two-quarters' reports of 2006 shows | | | | |
| poor record by 1.3%. Though at the beginning | | | | The single-family home sales were fallen in |
| of 2007, the price was higher than the | | | | June by 3.5% from May. This was also 12.1% |
| previous year by 4.3%, yet this comes out to | | | | lower than the 5.70 million-units level in |
| be the lowest yearly comparison record since | | | | the same time of the last year. On the other |
| third quarter of 1997. | | | | hand, the median of existing single-family |
| | | | home price was up 0.1% from 2006. Likewise, |
| This appreciation record of HPI, when fed up | | | | while the existing condominium and co-op |
| with the information on home purchase and | | | | sales were declined by 6.3%, the median sales |
| refinance, was turned out to be only 3% on | | | | price was up 2.6% from the previous year. |
| quarter comparison between 2006 and 2007. The | | | | |
| overall housing prices have arisen at the | | | | According to the National Association of |
| beginning of 2007, but it was the lowest rate | | | | Realtors, the housing price will be increased |
| in 10 years. The growth rate of the housing | | | | in the next year. This will be as a result of |
| prices in the last year was faster than other | | | | and accompanied by the rising of the real |
| non-housing materials and services by almost | | | | estate sales to almost 6.4 million in the |
| 3 points. | | | | next year. This year, it is estimated to be |
| | | | 6.1 million. While in the previous year, it |
| The existing home sales were down 2.6% in | | | | was 6.5 million. Existing home prices are |
| April, where new home sales jumped up several | | | | supposed to rise by 1.8% after this year's |
| points. Prices rose slowly after May-June and | | | | 1.4% fall. Also the new-home prices are |
| inventories on the other hand decreased | | | | presumed to gain 2.2% after this year's 2.6% |
| slightly. The national median existing home | | | | fall. |