Existing home sales for April

Updated: 27-May-09 10:00 ET

Existing home sales for April came in at an annualized rate of 4.7 million, which is in-line with that which was widely expected. The April rate was up modestly from the rate of 4.6 million for the prior month.

In turn, existing home sales increased 2.9% month-over-month, which is better than the 2.0% monthly increase that was expected. Home sales had slipped 3.4% month-over-month in the previous reading.

Meanwhile the House Price Index for March decreased 1.1% month-over-month. It was expected to increase 0.2% month-over-month. Meanwhile, the House Price Index for February was revised lower to reflect a 0.2% monthly increase.

Home sales and prices have been pressured in recent months by rising unemployment, despite efforts to keep mortgage rates down and tax incentives attractive. However, the better-than-expected month-over-month increase in sales has induced some knee-jerk buying in the broader market.