Existing Home Sales Even Hotter In April

The East Valley Tribune, reports that existing homes were sold in August at the fastest pace in history as the nation's red-hot housing market just kept getting hotter. The National Association of Realtors reported Tuesday that existing home median price in the nation rose 15.1% over the past year. That's the biggest 12-month gain since 1980, adding to the concerns of a housing bubble. Dr. Jay Butler at ASU still believes housing is a good long-term investment, but it remains to be seen whether the market can continue at its current clip."We've got two good things--low interest rates and a reasonably good economy," Butler said. "People have great expectations for the coming year and that is where the problem is going to be," he said. If housing prices go up another $40,000 owners or speculators may want to get out and put a property on the market. For the most part, Butler says Valley residents shouldn't be alarmed. "If you live in it, it's not really an issue because the housing market does improve over time." More...