The recovery in home sales slowed somewhat on a year-over-year basis in April. The results indicated that homes sales continue to suffer from overall weakness in the general economy and the weakness in middle and upper tiers of the home price segments. Unit sales were down 11.1 percent from April 2008 to April 2009 that compares unfavorably with March numbers that showed sales down only 5.8 percent from March 2008 to March 2009.  Prices of sold homes were down 20.5 percent from April 2008 compared to the March report that showed closed sales prices being down 18.1 percent.

 
The best region for sales units was the western region where unit sales continued their run of increased housing activity although the increase is less than previous months. Unit sales in the western region were up 9.9 percent in April 2009 compared to April 2008. Other regions saw sales decreases of between 13.3 and 20.5 percent with the Northeast region having the largest unit decline compared to last year.  
 
Prices continue to be soft with every region reporting continued price declines.  The western region showed the largest decline with April 2009 prices down 31.7 percent from April 2008.  The best region was the South where prices were down 15.8 percent from the same month a year ago. The national average price of homes sold was down 20.5 percent from a year ago.  Much of the decline in the average sold price is due to the inordinately high number of lower priced foreclosure and short sales and the impact of the first-time homebuyer sales which typically are focused on lower priced home segments.
 
"April 2009 results show that low interest rates, soft home prices and high levels of affordability are having a positive effect but that the lack of affordable mortgages for the middle and upper tiered home priced segments and weakness in the general economy continue to be a drag on the housing recovery," said Steve Murray, editor of REAL Trends.   "As we said in our last report, there are several factors that will subdue housing sales in 2009.  The April results show strong evidence that a true broad based housing recovery is a ways off."
 
Housing Market Report
 
April 2009                       March 2009                  
 
(Versus same month a year ago)
 
Closed Sales    AVG Price    Closed Sales    AVG Price
 
National                               
-11.1%           -20.5%                 -5.8%               -14.7%
 
Regional Report
 
Northeast
-20.5%           -16.8%               -16.2%                 -9.7%
 
South  
-18.4%           -15.8%               -12.5%                 -7.9%
 
Midwest
-13.3%           -18.4%               -10.3%               -12.6%
 
West
+9.9%            -31.7%               +18.7%              -23.0%