Tag Archive for economists

New Home Sales Beat Expectations

December 27, 2013 Housing Market Comments Off on New Home Sales Beat Expectations

According to estimates released by the U.S. Census Bureau and the Department of Housing and Urban Development, new home sales fell 2.1 percent in November from October’s pace. Despite the dip, sales of newly built, single-family homes are now 16.6 percent above last year’s estimate. And though November’s pace slipped, October’s previously reported rate was revised upward by 30,000, making that month’s pace a post-recession high. August and September’s sales rates were also revised upward by a total of 58,000. With those revisions, November’s rate – while slower than October – still beat economists’ expectations for the month. The new data indicates that the housing recovery is on track and buyers have largely adjusted to higher prices and mortgage rates. The median sales price of new houses sold in November was $270,900; the average sales price was $340,300. There was a 4.3 month supply of new homes available for sale at the end of the month. More here.

New Home Construction Surges, Signals Stronger Economy

December 19, 2013 Housing Market Comments Off on New Home Construction Surges, Signals Stronger Economy

According to the U.S. Census Bureau and the Department of Housing and Urban Development, new residential construction spiked 22.7 percent in November and is now nearly 30 percent above last year’s level. The increase was the largest since January 1990 and brought housing starts to a seasonally adjusted annual rate of 1,091,000. Despite the improvement, new home construction remains below historical average. From 1959 through 2000, housing starts averaged 1.5 million per year. Still, with single-family housing starts up 20.8 percent month-over-month and demographics and household formation suggesting more growth, new home construction should continue to improve. The gains were better than economists expected and indicate a strengthening economy. More here.

New Home Sales Rebound In August

September 27, 2013 Uncategorized Comments Off on New Home Sales Rebound In August

Sales of new single-family homes spiked in August, according to estimates released by the U.S. Census Bureau and the Department of Housing and Urban Development. Sales were up 7.9 percent above July’s rate and 12.6 percent above last year’s estimates. The improvement is a welcome change following a nearly 14 percent plunge in July, which was the largest drop in more than three years. And, though August’s estimates fell slightly below economists’ expectations, the late summer lull has been caused by temporary factors, according to analysts. Merrill Lynch, for example, is forecasting that builders will sell 438,000 new homes this year and that sales will rise by more than 20 percent next year. The government report also showed that the median sales price of new houses sold in August was $254,600; the average sales price was $318,900. There is a 5-month supply of new homes available for sale at the current sales rate. More here and here.

New Home Construction On The Rise

September 23, 2013 Uncategorized Comments Off on New Home Construction On The Rise

According to the U.S. Census Bureau and the Department of Housing and Urban Development, permits to build new single-family homes rose 3 percent in August, reaching their highest level since 2008. The improvement, combined with a 7 percent jump in single-family housing starts, provides more evidence of a consistent and sustained recovery in the residential housing market. And, in addition to the obvious benefits to housing, gains in new-home construction are closely tied to the broader economy. In fact, economists’ estimate that every new home built leads to the creation of three jobs for a year. Demand for new homes is expected to continue, as household formation numbers recover from historic lows. More here and here.

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