Resales Down Slightly

Sales of existing homes fell 0.7% in May to a seasonally adjusted annual rate of 7.13 million units, the second-best reading ever for the industry.According to figures compiled by the National Association of Realtors, sales of single-family homes fell 1.1% but were offset by a 2.2% gain in condominiums and co-operatives. Meanwhile, home prices rose year over year by a robust 12.5%. Commenting on May's number, NAR chief economist David Lereah called homes sales "red hot," adding, "I don't see an end to this." Mortgage rates are near their historic lows, but so is fixed-rate mortgage production, the trade group said. The NAR can be found online at http://www.realtor.org.