Fannie Economist: Slowdown Indicated
The Origination News website has a report today on comments by Fannie Mae chief economist David Berson. He spoke about the preliminary data and indications for the housing market. "(H)ousing data are pointing toward a slowdown in home sales..Recent trends in production versus sales are a bit disturbing, and may suggest the excess inventories of unsold homes may have increased in early 2005 from already relatively high levels."
It is gratifying to hear someone other than myself point out the inventory that is building all over the country. "The obvious implication, if these data are indicative of actual trends, is that housing production may be exceeding demand," Mr. Berson warns.