May 25, 2010

Existing Home Sales Data: Continuing Rise In Inventories Is A Concern

"A positive read on actual sales was largely expected for this month as the home buyers tax credit ended in April, but the continuing rise in inventories is further concern that the shadow inventory will continue to come on the market in the coming months. We have detailed the outlook for housing and continue to believe the pressures are mounting in real estate. Today’s surge in inventories is worrisome to say the least. Home sellers are clearly trying to sell into the brief strength we’ve seen in housing. The massive supply on the market is not a good sign for what is likely to be lower and lower demand as the year wears on."

in The Pragmatic Capitalism

Related stocks: Lennar Corporation (Public, NYSE:LEN), D.R. Horton, Inc. (Public, NYSE:DHI), Toll Brothers, Inc. (Public, NYSE:TOL), PulteGroup, Inc. (Public, NYSE:PHM)

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