Existing home sales soar 8% in April

http://money.cnn.com/2010/05/24/real_estate/existing_home_sales/?postversion=2010052412

“The upswing in April existing-home sales was expected because of the tax credit inducement, and no doubt there will be some temporary fallback in the months immediately after it expires, but other factors also are supporting the market,” said Lawrence Yun, NAR chief economist. “For people who were on the sidelines, there’s been a return of buyer confidence with stabilizing home prices, an improving economy and mortgage interest rates that remain historically low.”

Nobody buys a house when they are dropping in price, if they can help it. Now that prices have bottomed, you’ll see a lot more people buying, even without stimulus money.

UPDATE: It’s going to be a pretty touch and go housing market for a while.  There’s sooo much inventory out there, not only peope underwater, but foreclosures as well as regular turnover.  It’s almost like we’ll need an influx of 10,000,000 or so new legal citizens, now able to buy homes as they have recongized legal status, to help take up the slack. 

I wonder where we could find them….

It should also be noted that the NAR (National Association of Realtors) is *always* going to try and paint a cozy, cutest house on the block, picture of the market.

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