ARLINGTON, Va. — NAFCU's updated Macro Flash Data Report yesterday noted the April surge in home sales to 16.2% annualized, but Chief Economist Dr. Tun Wai told Credit Union Times that caution should be applied because "this is just one month and one month doesn't make a trend." Many more months of increased sales would be required to effectively overcome what's happened to the real estate market, he said.

Although April sales, (981,000 units) as reported by the National Association of Realtors (NAR), are higher than expected they remain lower than last year's pace, and the housing sector remains soft despite a good pace in the northeastern U.S. The housing price decline is expected to continue and the subprime adjustment will further impact the broader market.