DESPITE GRIM NEWS FOR NEW HOME SALES, EXISTING HOME SALES IN NJ SHOW GROWTH
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(WBGO News 2/25/2010)

The US Commerce Department is reporting that new home sales have plunged to a record low, but the New Jersey Association of Realtors says the market for EXISTING homes is experiencing a steady recovery.
Sales of new homes dropped off significantly after the tax credit for first-time home buyers was originally set to expire at the end of November. The credit was extended to April 30, but the data shows sales of new homes have come to a grinding halt.
Despite this, New Jersey Association of Realtors President-Elect Allan Dechert says sales of existing homes have increased significantly over the past year.
“This year, fourth quarter of 2009 in New Jersey we showed a 34 percent increase in existing home sales over the fourth quarter in 2008.”
Dechert says sustained growth in the housing market is vital to the country’s economic recovery as a whole.
“Housing has always been a cornerstone of the economy, and I think that it's going to be a real help as far as working to pull us out of the doldrums that we've been in.”
Dechert says low home prices, low mortgage rates, and government assistance have spurred the recovery in the existing home market.

© 2/25/2010 WBGO News