National Association of Realtors® Applauds Congress’ Swift Action Regarding the Tax Credit Extension
NAR economists estimate that the current tax credit has contributed approximately $22 billion to the general economy, and approximately 2 million people will take advantage of the tax credit this year.
“The substantial rise in home sales we’ve seen over the past few months proves that the tax credit is working and is being used by buyers who were waiting for the right opportunity to get into the market,” McMillan said. “This important incentive is helping to stabilize the housing market, stimulate the economy and create new jobs in communities all across our great nation. Extending and expanding the home buyer tax credit will enable even more families to take advantage of current low interest rates and affordable prices to invest in their future through homeownership."'
Wage and Salary Growth Projected to Improve Next Year, Analysts Predict
Employment Outlook for Q1 2010
By Prashant Gopal
Business Week Reporter
"The recession appears to be over and America's job-market recovery should get under way next year (assuming there's no dreaded double-dip downturn). In the first quarter of next year, the nation's annualized job growth rate will fall by just 1%, according to a projection by Moody's Economy.com. Compare that to the first quarter of this year, when payrolls contracted by nearly 6 percent. But some metros will far outperform the nation and could be in recovery mode by late this year.” …
Fed Stands By Rock-Bottom Interest Rates For Near Future
By Neil Irwin
Washington Post Staff Writer
Fed policymakers, following a two-day meeting, said that "economic activity has continued to pick up." But they also said that conditions are "likely to remain weak for a time," and left their target interest rate at a range of zero to 0.25 percent, as was widely expected. They also said that low rates are likely to be warranted "for an extended period."
"Basically, they're saying they're not going to do anything for quite a while," said Kurt Karl, chief U.S. economist for Swiss Re. "They're saying that things are getting a little bit better in the economy, but it's nothing to get exuberant about or to cause an inflation problem."
The Fed is moving forward with previously announced plans to wind down its unconventional efforts to prop up the economy, including letting $1.25 trillion in purchases of mortgage backed securities conclude by the end of March 2010.
Economy Finally Back In Gear
Government says GDP grew 3.5 percent in third quarter, ending a year-long string of declines and coming in better than forecasts.
By Chris Isidore
CNNMoney.com senior writer
NEW YORK (CNNMoney.com) —The U.S. economy grew at a 3.5 percent annual rate in the third quarter, ending a string of declines over four quarters that resulted in the most severe slide since the Great Depression. But some economists raised doubts about how long such strong growth can last.
The increase in GDP, reported by the government [recently], was slightly better thanexpectations. Economists surveyed by Briefing.com had forecast 3.2 percent growth in gross domestic product, the broadest measure of the nation's economic activity. The economy shrank at a 0.7 percent rate in the second quarter.
The positive GDP report is one more sign that the economy has likely pulled out of the deep recession that started in December 2007.
The reading by itself doesn't mark an end to the recession; the economy actually grew in the second quarter of 2008. (The National Bureau of Economic Research, which officially dates the beginning and end of recessions, is not expected to declare that the current recession has ended until sometime in 2010.)
October 2009 Regional Home Sales
Northern Virginia: October 2009
The Northern Virginia Association of Realtors® reports on October 2009 home sales activity for Fairfax and Arlington counties, the cities of Alexandria, Fairfax and Falls Church and the towns of Vienna, Herndon and Clifton.
A total of 1,604 homes sold in October 2009, a 10.09 percent increase above October 2008 home sales of 1,457.
Active listings decreased by 21.91 percent from last year, with 6,877 active listings in October, compared with 8,806 homes available in October 2008. The average days on market (DOM) for homes in October 2009 decreased by 38.30 percent to 58 days, compared with 94 days in October 2008.
Sales prices were lower than those realized last year. The average sales price in October decreased by less than one percent from October 2008, to $424,510, compared with last October’s average of $427,502.
The median price of homes sold in Northern Virginia fell slightly in October to $356,800, which is a decrease of less than one percent compared with October 2008’s median price of $359,000.
The number of pending home sales in Northern Virginia in October shows an increase of 24.06 percent at 1,990 compared to 1,604 in October 2008.
Greater Northern Virginia: October 2009
Sales activity in Greater Northern Virginia (NVAR jurisdictions plus Prince William, Loudoun and the Greater Piedmont counties) for October 2009 shows a decrease from October 2008.
The number of Greater Northern Virginia region homes sold in October was 2,902 a 3.27 percent decrease from October 2008’s total of 3,000 sales. Pending home sales showed a slight increase from October 2008’s 3,543 to 3,670 in October 2009, a 3.58 percent increase.
The average sales price of $360,964 in October 2009 increased by 5.86 percent over October 2008’s average sales price of $340,993.
Across Greater Northern Virginia, the number of listings showed a decrease from 2008 numbers, with 13,395 listings active, which is 26.84 percent less than this time last year, when 18,309 homes were available. The average DOM for a home sold in October 2009 was 57 compared with last year’s 103 DOM, a decrease of 44.62 percent.