New Home Sales Surge 9.6% in July

New U.S. home sales surged 9.6 percent in July, rising for the fourth straight month
and beating expectations as the housing market shows continuing signs of rebounding from its historic downturn.

The Commerce Department said Wednesday that sales rose to a seasonally adjusted annual rate of 433,000 from an upwardly revised June rate of 395,000. Sales are now up 32 percent from the bottom in January, but off 69 percent from the frenzied peak four years ago.

Last month's sales pace was the strongest since September and exceeded the forecasts of economists surveyed by Thomson Reuters, who expected a pace of 390,000 units. The last time sales rose so dramatically was in February 2005.

The median sales price of $210,100, however, was still down 11.5 percent from $237,300 compared to the same time a year ago. There were 271,000 new homes for sale at the end of July, down more than 3 percent from May. At the current sales pace, that represents 7.5 months of supply, the lowest since April 2007. The decline means builders have scaled back on construction to the point where supply and demand are coming into balance.

Source: Associated Press, Alan Zibel (08/26/09)

Beware of the "Get rich quick in real estate" schemes

Although there are many legimate ways to invest in real estate and profit, most involve long term commitment and lots of homework. Additionally, planning and some resources are necessary to realize equity gain and profit from Real Estate.

Real estate seminar speakers mostly prey on the innocent, the desperate, and the naive. You've likely seen their ads splashed on late night TV. They proclaim that the mystery tell-all free tour is coming to your town, for one day only, and one phone call can secure your reservation, but hurry because seats are limited! In reality most are really trying to sell you their books, CD's, tapes, etc.

Do those Money-Making Schemes Actually Work?
Yes, some are feasible; but can you tell the difference? Probably not. Can you do it? It's unlikely. The techniques are not geared toward the average investor regardless of the promises and hype.