The latest US housing data published by the National Association of Realtors (NAR) has revealed that property prices in metropolitan areas registered an average year-on-year fall of 27 per cent during the second quarter of the year. However, 41 of the 151 metropolitan areas surveyed saw values increase over this period, an improvement on the first three months of 2011 when 31 regions experienced price rises.
But NAR chief economist Lawrence Yun stated that the US residential property sector should be recovering more quickly and is being held back by a lack of available finance for potential buyers. He stressed that banks could "stimulate a more rapid sales recovery" if they were prepared to lend to "more creditworthy borrowers". President of the association Ron Phipps echoed this sentiment and described the situation as "frustrating".
However, figures published earlier this month in the CoreLogic Home Price Index showed a gradual pattern of improvement within the US real estate sector, registering three consecutive months of marginal price rises. According to the company, the value of homes in the country increased by 0.7 per cent during June compared to May this year.
- Monday 15 August 2011