Previously occupied home sales fall in September

The number of Americans who bought previously occupied homes fell in September, keeping sales on pace to match last year’s dismal figures—the worst in 13 years. The National Association of Realtors today reports home sales dropped 3% last month to a seasonally adjusted annual rate of 4.91 million homes. That’s well below the 6 million mark economists say is consistent with a healthy housing market. Last year 4.91 million previously occupied homes were sold, the lowest level since 1997. Homes at risk of foreclosure edged down to 30% of sales, from 31% in August. Activity among first-time buyers accounted for 32% of all sales, the same as August. First-time buyers are critical to a housing recovery because their purchases of low and moderately priced homes allow sellers to move up to more expensive homes. Home sales fell across most of the country, but rose 2.6% in the Northeast. They declined 0.9% in the Midwest, 2.6% in the South and 8.8% in the West. The glut of unsold homes increased slightly in September to 3.48 million homes. At last month’s sales pace, it would take 8.5 months to clear that inventory of homes. Analysts say a healthy supply can be cleared in six months. Read more from The Associated Press here.