April 24, 2010
COMMERCE DEPT.: March New Home Sales up 23.8% from March 2009
Sales up 26.9% from February 2010 as federal tax credits expiration near
By David M. Kinchen
Huntingtonnews.net Real Estate Writer
Sales of new single-family houses in March 2010 were at a seasonally adjusted annual rate of 411,000, 23.8 percent above the March 2009 estimate of 332,000, according to estimates released jointly Friday, April 23, 2010 by the U.S. Census Bureau and the Department of Housing and Urban Development.
March new sales are 26.9 percent above the revised February rate of 324,000.
The $8,000 first-time home buyer tax credit expires Friday, April 30, 2010. There is also a $6,500 credit for repeat buyers. For information about qualifying for the two tax credits, click: http://www.federalhousingtaxcredit.com/
“Undoubtedly, the tax credit is working,” said Bob Jones, chairman of the National Association of Home Builders (NAHB) and a home builder from Bloomfield Hills, Mich. “Builders are seeing a growing optimism among consumers.”
“The near record-breaking 27 percent increase over February was the result of home buyers taking advantage of the tax credit as well as a carryover of demand that was held back by unusually bad weather in February,” said NAHB Chief Economist David Crowe.
“The increased sales are very welcome news and sales will continue to improve, although we expect them to plateau in late spring and early summer when the credit expires. Following that, the housing momentum will be carried forward by low interest rates, pent up household formations, excellent affordability conditions and a budding employment growth,” Crowe added.
Regionally, sales increased 35.7 percent in the Northeast, 4.3 percent in the Midwest, 43.5 percent in the South and 5.7 percent in the West.
The nationwide inventory of new homes on the market dropped a negligible 0.8 percent in March, to 227,000 units as builders continued to maintain small inventories. With the increased sales pace and low inventory level, the month’s supply of new homes for sale dropped from 8.6 in February to 6.7 in March.
The median sales price of new houses sold in March 2010 was $214,000; the average sales price was $258,600.
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COMMERCE DEPT.: March New Home Sales up 23.8% from March 2009
Sales up 26.9% from February 2010 as federal tax credits expiration near
By David M. Kinchen
Huntingtonnews.net Real Estate Writer
Sales of new single-family houses in March 2010 were at a seasonally adjusted annual rate of 411,000, 23.8 percent above the March 2009 estimate of 332,000, according to estimates released jointly Friday, April 23, 2010 by the U.S. Census Bureau and the Department of Housing and Urban Development.
March new sales are 26.9 percent above the revised February rate of 324,000.
The $8,000 first-time home buyer tax credit expires Friday, April 30, 2010. There is also a $6,500 credit for repeat buyers. For information about qualifying for the two tax credits, click: http://www.federalhousingtaxcredit.com/
“Undoubtedly, the tax credit is working,” said Bob Jones, chairman of the National Association of Home Builders (NAHB) and a home builder from Bloomfield Hills, Mich. “Builders are seeing a growing optimism among consumers.”
“The near record-breaking 27 percent increase over February was the result of home buyers taking advantage of the tax credit as well as a carryover of demand that was held back by unusually bad weather in February,” said NAHB Chief Economist David Crowe.
“The increased sales are very welcome news and sales will continue to improve, although we expect them to plateau in late spring and early summer when the credit expires. Following that, the housing momentum will be carried forward by low interest rates, pent up household formations, excellent affordability conditions and a budding employment growth,” Crowe added.
Regionally, sales increased 35.7 percent in the Northeast, 4.3 percent in the Midwest, 43.5 percent in the South and 5.7 percent in the West.
The nationwide inventory of new homes on the market dropped a negligible 0.8 percent in March, to 227,000 units as builders continued to maintain small inventories. With the increased sales pace and low inventory level, the month’s supply of new homes for sale dropped from 8.6 in February to 6.7 in March.
The median sales price of new houses sold in March 2010 was $214,000; the average sales price was $258,600.
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