What Housing Recovery?

It seems like the bottom is falling out of housing again. Months inventory is back up, mortgage applications are down to a 13yr low and home prices are at a 7yr low.

The following chart shows the massive rise in time required to sell new developments. Folks, housing remains a big drag on the economy.

David Rosenberg (Gluskin Sheff) comments:

Chart 3 shows how long it is taking for the builders to make a sale after the unit has been completed — a record 14.2 months. It is taking over a year, which is unprecedented — in the boom years, it generally took little more than three months to make the sale. Either the builders need to discount even more or the taxpayer has to come to the rescue even more than it already for this beleaguered industry.