Silver City-area housing market sputtering during sour economy
By Levi Hill Sun-News Bureau Chief – Article Launched: 07/15/2008 01:00:00 AM MDT
SILVER CITY ” Grant County’s housing market is taking a hit at a time when uncertainty and instability in the nation’s economy is hurting markets across the country.
Nationally, the National Association of Realtors is reporting a decline in pending home sales of 14 percent in May compared to the same month last year. The NAR is predicting a recovery in sales in the last half of 2008, however, the forecast locally may not be as good.
“The overall decline in contract signings suggests we are not out of the woods by any means,” said Lawrence Yun, NAR chief economist, in a news release. “The housing stimulus bill that is being considered in the Senate is critical to assure a healthy recovery in the housing market, jobs and the economy.”
The U.S. Senate, on a 63-5 vote Friday, passed a bill that lets homeowners with mortgage payments they can’t afford keep their homes and get more affordable mortgages backed by the Federal Housing Administration. It still must be approved by the House and signed by the president.
Locally, home sales are half what they were in 2007 and the average selling price of homes has dropped nearly 18 percent ” a strong indicator that lower-end homes remain strong while higher-end properties and land are stalling, according to local Realtors.
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