According to the National Association of Realtors, existing-home sales decreased in November to a seasonally-adjusted annual rate of 6.69 million – down 2.5% from the prior month, but up 25.8% from one year ago. As US GDP for Q3 was revised to 33.40%. This looks like a V-shaped recovery.
This comes as the US Congress passes $900-billion COVID-19 stimulus package as part of $2.3-trillion government spending bill. Of course, members of Congress have not read this 5,593-page bill. It’s over 5,000 pages, arrived at 2pm today, and they are told to expect a vote on it in 2 hours (5,593 pages in 2 hours???). This reminds of House Speaker Nancy Pelosi’s infamous press conference where she said that Congress has to pass the Obamacare bill in order to find out what is in it.
Here is the 5,593 page bill that had to be read in two hours. That is only 2,800 pages per hour. Piece of cake! Or piece of pork.
Inventory of existing home sales fell to the lowest level in modern history as median price of EHS fell slightly in November.
Historic low inventories of homes for sale is why Biden’s $15,000 tax credit for first time home buyers is not wise. It is like throwing gasoline on a fire.