According to the National Association of Realtors, February home sales demonstrated an increase in both sales and prices of homes. That's a good thing! Numbers of sales have shown "year ago" increased fo 20 consecutive months. Oruces show "year ago" prices for 12 consecutive months.
Homes in the Midwest slipped 1.7% in February but are up 12.9% above last year. The median price is $129,900 up by 7.7% from a year ago.
In the Northeast, prices fell 3.1% but are 8.6% above February 2012. The meidan price was $238,800.
In the West, home sales increased 2.6%. They showed virtually the same average price as the homes in the northeast. Since the choices are limited and multiple bidding is happening, the median prices are 22.7% above February 2012.
Break out the champagne? Not yet. I'm thinking we need to see steady growth before we can do the happy dance. There are still lots of volatile economic issues that challenge us. Don't be fooled by a record stock market. This economy still has lots of work to do.
We still have trillions in debt for this country and it doesn't seem to be improving. At some point, there is a reckoning day for debt. We can't just let our grandkids pay for what we spend today. IMHO.