Mass. home sales jump in June

NORTHAMPTON, Mass. (WWLP) - June was a big month for Massachusetts realtors. According to the Warren Group, single family home sales increased by 28 percent across the state. In Hampshire County, home sales are up 50 percent from last year.

Dennis Delap, of Delap Real Estate, told 22News "In this office, we're up 40 percent. That's the number of homes sold in 2010 compared to 2009." He said the increase is because of the home buyer's tax credit. It offered people up to $8,000 to buy their first home. But, buyers had to close the deal by the end of June in order to get the free money.

Michelle Morris of the Valley Community Development Corporation told 22News she's seen a sharp decline in the number of prospective first time home buyers in their first time home buyer classes. She said "We typically had at least 40 to 45 people in a class, especially over the last four years. I would say now, we’re probably at about 15 people a class."

She said the demand is so low in August, they’ve canceled the class for the month. That’s something that’s worrying realtor’s about future sales. Delap said "There are buyers. But, they’re being much more cautious. They’re now not thinking about flipping it or buying something short term. They’re trying to buy something they’re going to be in for a long time. They’re buying a home not an investment."

Some experts say the national outlook for home sales could be grim. They predict home prices could drop in some major cities. Click here to find out more http://www.wwlp.com/generic/news/national/Housing-Crisis-Continues.