The month of July 2009 has seen a 11% drop in the median home prices in US due to increased availability of seized homes at throw away prices. The housing sector has seen a 9% growth in July 2009 over the previous month in absolute numbers on the back of government stimulus scheme plus the low rate of long term mortgage rates.
Still the housing sales in absolute number terms is lower than a year ago figures, which is a cause for concern. The inflation is expected shoot up in the next two months, which will force the interest rates to shoot up. And the government scheme is also ending on November 30th which can dent the demand further.
US house prices down 11% in July 2009