Existing home sales declined nearly 2% in June from May on a SAAR basis (Seasonally Adjusted Annualized Rate). (SAAR is the statistically manipulated metric used by industry organizations and the Government to spin bad monthly economic data into an annualized metric that hides the ugly truth).
Here is the NAR-spun fiction: ‘Closings were down in most of the country last month because interested buyers are being tripped up by supply that remains stuck at a meager level and price growth that’s straining their budget…’ – Larry Yun chief ‘economist’ for the National Association of Homebuilders.
This has been Yun’s narrative since home sales volume began to decline last year. His headline mantra of low inventory is mindlessly regurgitated by Wall Street and the financial media. But here’s what the truth looks like (click to enlarge):
This post was published at Investment Research Dynamics on July 24, 2017.