Unemployment rate ticked up for Connecticut last month, but so did housing market, sending mixed review on the economy as holiday shopping season comes into limelight. Prudential Connectivity Realty president, Candace Adams said as nearing the year-end, closer observations on overall jobs will be made. He said it is a signaling potential growth in the home sales in next year as house prices are predicted to level off early 2013. The housing reports and jobs are two major signs of the state of the Connecticut economy. While the jobless rate prolonged to be higher than the nationwide average, home sales continue to improve every month.
State executives declared that jobless rate in Connecticut have edged up to 9% despite adding 1,200 jobs in last month. In its latest statement, the state officials noted adding 2000 jobs in Sept, leaving the state down by 2,800 employments last year. On Monday, even national figures were released, showing that the United States sales of previously existing houses increased steadily in Oct, helped by improvement in job market and forming low mortgage rates. The third quarter report released in Connecticut showed that overall house sales increased 4.5% from last year, indicating the warming market trend throughout the nation.
The National Association of Realtors announced that sales of existing houses in the United States climbed 2.1% to an annual rate of 4.79 million, which is 1% higher than September’s 4.69 million. The home sales are roughly 11% higher than a year ago and however, it remains below the average. The last moderate rate was 5.5 million, which occurred when the market was healthy. The association said Hurricane Sandy delayed some sales of houses in the Northeast and as a result, previously occupied homes sales result in Northeast areas drooped 1.7%. The group also said that northeast is only the region with decline sales.
The house sales are likely to set a trend in coming months and most October transactions will be completed in next months. The rising demand is pushing house sales in most of the areas in the country. NAR Chief Economist, Lawrence Yum said Northeast sales would be rising next month from delays and pause in storm affected areas. In Connecticut area, the home sales rose 13.1% from last year, according to The Warren Group, which compiles data on real estate sales in New England. Timothy M Warren, CEO of the group said housing market is seeing tremendous response and sales have been increasing in every month.