Mixed Signs of Recovery on Latest Obama Housing Scorecard

May 7, 2012

The housing market is showing “promising signs of stability, though the overall outlook remains mixed,” according to the Obama Administration’s Housing Scorecard for April. 

On the bright spot: Mortgage delinquencies have slowed for four consecutive months and remain well below levels posted one year ago, according to the April scorecard, which tracks the nationwide health of the housing market on a monthly basis as well as the administration’s efforts on its aid programs. 

Another sign of stability and turnaround in housing: Sales of existing homes were 5.3 percent higher in the first quarter compared to one year ago. Inventories of homes also were at their lowest level in several years. Economists consider a healthy supply of homes for-sale to be about six months. The current sales pace for new homes is 5.3 months, and 6.3 months to sell the current supply of existing homes, according to the housing scorecard.

While several signs point toward an improving market, the report notes that home prices, however, remain “soft” in many areas. The report notes that prices do reflect slower winter months and that a gradual increase is occurring over year-ago levels. 

The administration says it will stay focused on trying to curb “preventable foreclosures” and helping home owners refinance to make their homes more affordable. From April 2009 to March 2012, more than 1.8 million home owners participated in HAMP trial loan modifications and more than 1.3 million home owners took part in the Federal Housing Administration’s loss mitigation and early delinquency interventions, according to the April scorecard.

To view the full report, visit www.hud.gov/scorecard.

Source: The U.S. Department of Housing and Urban Development and U.S. Department of Treasury

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