The good and the bad, from Bloomberg:
Sales of previously owned homes in the U.S. fell less than expected in May, suggesting a gradual slowdown in the housing market...
Resales were expected to decline to an annual rate of 6.6 million from April's originally reported 6.76 million, according to the median estimate of 58 economists in a Bloomberg News survey. Forecasts ranged from 6.43 million to 6.88 million...
The supply of homes rose 5.5 percent to 3.6 million, bringing inventories up to 6.5 months' worth at the end of May.
The median price of an existing home rose 6 percent in May from a year earlier to $230,000, the Realtors group said.
The story in pictures, by region:
The commentariat in blogland was unimpressed. The Capital Spectator says:
Yesterday's latest release of new home sales renewed talk that the much-discussed slowdown in housing has been greatly exaggerated. Don't believe it.
Michael Shedlock took note, pre-report, of rising foreclosure rates. And Calculated Risk, armed with graphs aplenty and ever the go-to source on these matters, warns:
Existing Home Sales are a trailing indicator. The sales are reported at close of escrow, so May sales reflects agreements reached in March and April.
Usually 6 to 8 months of inventory starts causing pricing problem - and over 8 months a significant problem. Current inventory levels are now in the danger zone.
You have been warned.