US home sales at two-year high
by Valerie Shijie XIE
As the article shows, according to the National Association of Realtors’ data, the price of previously US owned house rose, resulted in the sale of this kind of house reached highest level for more than two years in August. However, this also caused a fall in the amount of first-time buyers about 3%. This phenomenon was caused by the rising housing price, which means the opportunity cost of first-time buyers raised.
On the other hand, Lawrence Yun, NAR’s chief economist, hold an opinion that the housing market has a stable increasing trend with consistent increases in both home sales and median prices. One of the reason of housing economy being boosted could be a federal home-buying tax credit, which encourages buyers to increasse thier purchase.
However, Lawrence Yun also indicated that there were shortages of houses for sale and the price rose faster than other places in the west of the United States and in the state of Florida .whether the recovery of housing market will worsen inflation rate or even worsen economy situation, it takes time to see.