Next Wednesday, December 21, along with it’s November release of existing home sales, the National Association of Realtors (NAR) will also release revisions to its existing home sales data from 2007 through October 2011. Five years of reported data may have a mistaken “up drift”?!
Reuters reported that the downward revision of the multi-year accumulation of sales information is the result of double counting and will indicate a much weaker housing market than previously thought. NAR said that a benchmarking exercise had revealed that some properties were listed more than once and some new home sales may have been included in existing home sales figures.
It seems that Realtors are aware that home sales have been over-counted for years – heck, one sale results in the seller’s agent and the buyer’s agent counting the transaction in many cases.
CoreLogic was onto this overstating of existing home sales a year ago. Read about it here (last paragraph), and below is a chart CoreLogic released early-2011.
-by Rob Chrisman & Julian Hebron