Bubble Bursts: Unsold Housing Inventory Up 29% over May 2006

6 de junio de 2007

<body><div id="article"><tr><td height="23" valign="middle" width="184"></td><td valign="middle" width="185"></td></tr><h1>Bubble Bursts: Unsold Housing Inventory Up 29% over May 2006</h1><p>June 6, 2007 (LPAC) --The bubble is bursting. The number of homes listed for sale in 18 major U.S. metropolitan areas at the end of May rose by 5.1% in just one month, according to real-estate brokerage firm ZipRealty Inc.--named for the speed of turnover it once enjoyed on its transactions.</p><p>Compared to May of 2006, combined inventory was up a sharp 29% for the 15 cities for which such comparisons were available, the firm reported. A further drop in prices is expected as a result.</p><p>Meanwhile, the National Association of Realtors conceded somewhat to the reality of the collapse, saying drops in home sales and prices are going to be worse than originally forecast.</p><p>Sales of existing homes are now expected to fall by 4.6% to an annual pace of 6.18 million units in 2007, down from 6.29 million units it estimated last month. NAR also predicted that the median sales price will decline 1.3%, worse than the 1.0% drop it forecast previously.</p></div></body>