November saw new home sales well below market expectations

In November, there was a drop of 1.6% in the sale of newly built, single-family homes. According to newly released data by the US Department of Housing & Urban Development and the US Census Bureau, this drop was considered in accordance with the US Department of Housing & Urban Development and the US Census Bureau.

Kevin Kelly, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Wilmington, stated that though home sales have edged slightly lower, builders are reporting confidence in the market and are increasing their inventory in anticipation of future business.

NAHB Chief Economist David Crowe said, “Sales have held in a relatively stable range during the past four months. As the labor market and broader economy continue to strengthen, we can expect the housing sector to gain momentum heading into next year”.

The inventory of new homes for sale went up to 213,000 in November, which is a 5.8-month supply at the current sales pace. Further, the regional sale of new home sales rose 14.8% in the West. In the Northeast, the sales dropped by 12%, in the Midwest by 6.3% and in the South by 6.4%.

Quicken Loans Vice President Bill Banfield stated that the new home sales still haven’t reached the levels that they are looking out for. A healthy supply of new homes and a strengthening economy should give everyone a positive outlook going into 2015 on the whole.

Although new home sales account for only a small share of total sales in the housing market, this figure has an important impact on job creation as well as on household consumption.

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