Sales of existing homes dipped a tiny 0.7% in August, the third straight month of declines. Tight inventory is the culprit, both hurting sales and nudging the median price up modestly, now 3.9% ahead of a year ago.
Housing starts sank 11.3% in August, mostly due to a 26.3% drop in multi-units. Single-family starts are actually up 2.4% the past year, as more buyers turn to new builds. And permits posted a gain, so the future looks good.
Buyer demand continues. The Mortgage Bankers Association reports purchase loan applications rose last week a seasonally adjusted 2.0% versus the week before, the second week in a row of increased mortgage applications.