Home Purchase Contracts Rise for the Second Month in June

Evidence of stabilization in the housing market showed in June as combined purchase contracts for resales & new construction increased by 12% over a  year ago.  This increase in June and a 13% increase in May, reverse a trend of declining purchase activity last year.  June 2011 performance essentially matched June 2008 just before the recession hit.  These recent improvements in light of meagre employment growth, high unemployment and limited access to credit may indicate that housing demand is stabilizing.

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