New Home Sales Skyrocket 17.5% – NOT

New home sales are likely up 10% (22,000 in December vs 20,000 in November) using historical November and December sales unadjusted sales data. The seasonal adjustment factors used by the U.S. Census are distorting the data.

Case-Shiller Joins the Indices Saying Home Prices Are Down in November 2010

The USA could be on track for a second seasonal dip as seen in the last two winters. This winter the dip could go below April 2009 prices and become a true double dip for the cycle. (Econintersect is in this camp). Finally, NAR optimism could be rewarded and there could be a pause in home price decreases.