New York, NY (PRWEB) October 28, 2013
The figures for residential real estate prices for the month of September 2013, as released by the National Association of Realtors, are out. The figures for the past month show a decrease in the number of units sold standing at 5.29 million units, which is a decrease by 1.9% from the same period last year. However, at the same time, the median price for the properties stood at $199,200 which is 11.7% higher than the prices of units in September 2012.
“This softening had been expected in response to the increase in mortgage rates that began in May,” Daniel Silver, a JPMorgan economist in New York, told Reuters.
The sale of units in August too showed the effect as fewer units were sold as compared to the same period last year. National Association of Realtors also reports that September 2013 recorded the lowest sale of units in the last five years owing to the triple threat of stagnant salaries, high mortgage rates and steep home prices.
As for the month of October, according to Reuters, the sales of units are expected to continue to slow because of the partial government shutdown and thereby the delay in the processing of the mortgages at the Federal Housing Administration.