• News
  • SAN DIEGO
  • Real Estate

Home sales seen dropping

WASHINGTON -- Sales of new and existing homes in the United States will fall in 2014 for the first time in four years, the Mortgage Bankers Association (MBA) said in a forecast Thursday.

The MBA lowered its outlook to 5.28 million homes -- a decline of 4.1 percent from the previous year.

The industry group also projected mortgage lending for purchases would total $595 billion this year, down 8.7 percent from 2013, and the first retreat in three years.

Rising home prices and stagnant wages make it difficult for Americans to get mortgages amid tight credit standards.

The median price of an existing home gained 11.5 percent last year, second only to the 12 percent gain in 2005, the highest on record, according to the National Association of Realtors.

The median U.S. household income rose less than 1 percent in 2013, according to data from Sentier Research LLC in Annapolis, Md.

“Even though we’re technically in a recovery, household income is lower now than it was in the recession,” said Gordon Green, a Sentier partner who formerly directed the Census Bureau office that compiles wage statistics. “It makes it a lot harder to buy a house.”

Leave Your Comment

Comments are moderated by SDDT, in accordance with the SDDT Comment Policy, and may not appear on this commentary until they have been reviewed and deemed appropriate for posting. Also, due to the volume of comments we receive, not all comments will be posted.

SDDT Comment Policy: SDDT encourages you to add a comment to this discussion. You may not post any unlawful, threatening, defamatory, obscene, pornographic or other material that would violate the law. All comments should be relevant to the topic and remain respectful of other authors and commenters. You are solely responsible for your own comments, the consequences of posting those comments, and the consequences of any reliance by you on the comments of others. By submitting your comment, you hereby give SDDT the right, but not the obligation, to post, air, edit, exhibit, telecast, cablecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comment(s) and accompanying personal identifying and other information you provide via all forms of media now known or hereafter devised, worldwide, in perpetuity. SDDT Privacy Statement.

User Response
0 UserComments

Leave Your Comment

Comments are moderated by SDDT, in accordance with the SDDT Comment Policy, and may not appear on this commentary until they have been reviewed and deemed appropriate for posting. Also, due to the volume of comments we receive, not all comments will be posted.

SDDT Comment Policy: SDDT encourages you to add a comment to this discussion. You may not post any unlawful, threatening, defamatory, obscene, pornographic or other material that would violate the law. All comments should be relevant to the topic and remain respectful of other authors and commenters. You are solely responsible for your own comments, the consequences of posting those comments, and the consequences of any reliance by you on the comments of others. By submitting your comment, you hereby give SDDT the right, but not the obligation, to post, air, edit, exhibit, telecast, cablecast, webcast, re-use, publish, reproduce, use, license, print, distribute or otherwise use your comment(s) and accompanying personal identifying and other information you provide via all forms of media now known or hereafter devised, worldwide, in perpetuity. SDDT Privacy Statement.