Tuesday, June 26, 2012

MARKET TRENDS: Real Estate Outlook: New Home Sales Rise 3.3 Percent

New home sales rose during the month of April. This 3.3 percent rise reported by HUD and the U.S. Census Bureau is consistent with predictions of sustained growth through the rest of the year.

"The increase in April sales activity is in line with other important housing measures that have shown continued, gradual improvement from the first quarter as more consumers look to take advantage of today's low interest rates and affordable home prices," noted National Association of Home Builders (NAHB) Chairman Barry Rutenberg, a home builder from Gainesville, Fla. "In markets where demand is rising, we could be seeing a faster pace of recovery if not for persistently tight lending conditions that are slowing both the building and buying of new homes."
On a regional basis, new-home sales rose 7.7 percent in the Northeast, 28.2 percent in the Midwest and 27.5 percent in the West in April. The South was the only region to post a decline for the month, of 10.6 percent.

Inventory for new homes is now at a 5.1-month supply -- slim by historic standards.
A rise in sales is always good news in this post-recession economy. The National Association of Home Builders (NAHB) is committed to showing current and future homeowners the opportunities which homeownership brings. That is why the month of June is National Homeownership Month.

"Anyone thinking of buying a home shouldn't wait any longer," added NAHB Chairman Barry Rutenber. "Housing markets around the country are improving, home prices have stabilized
,  there is a great selection of available homes for sale, and interest rates are at near historic low levels."

You can read more information about homeownership, threats to the American Dream, current housing proposals, and mortgage information atProtectHomeownership.com -- run by the NAHB.

"Homeownership remains a core value to American families," said Rutenberg. "Even more important than the financial advantages of homeownership, is that first and foremost, a home is where your family can relax, spend quality time together and build lifelong memories."

A recent NAHB study (January 2012) found that despite a still struggling economy, the dream of homeownership is alive. The study found that 96 percent of homeowners are happy they own. That is a big statement considering the number of underwater owners. Nearly seven out of 10 American adults who are not currently home owners said it was a goal of theirs to buy a home.

Will we continue to see improving sales and housing growth? Lawrence Yun, National Association of Realtors chief economist, said new jobs are the key. "Ongoing job creation, which is at a higher level this year, is fueling an underlying demand for commercial real estate space, assisted by a steady increase in consumer spending," he said. "The pattern shows gradually declining commercial vacancy rates, with consequential but generally modest rent growth."



Mark John Acantilado said...

A few months after, do you still believe that the market is really picking up back?

Realty News Blog

Roberta Stone said...

Absolutely. The market has been very strong and interest rates continue to be quite low, providing incentives to buyers.

Mark John Acantilado said...

But do you think that is enough to say that full market recovery is on it's way? Many rumors and realty news don't say so..

Roberta Stone said...

Perhaps it depends on what part of the country you're in, but the Eastern Massachusetts market is very strong.

Mark John Acantilado said...

Thanks! I will look further in keep in touch with other news and updates as well from your blog.. Thanks for the short conversation. :) I appreciate your effort sharing ideas and answering questions.

Mark A.

Mark John Acantilado said...

By the way, I +1 your post and found also your social media marketing blog so I decided to share it as well. :) Nice blog and for sure I'll be following you on it too. :)

Here is the link:

This is some sort of gratitude for you.

Mark A.