Google+

New Home Sales Jump in April

 

New Home Sales Jump in April

By Burt Carey

Sales of new homes hit their highest rate since 2008 in April, according to the Commerce Department’s U.S. Census Bureau.

April sales increased 16.6 percent over March figures, which correlates to a seasonally adjusted rate of 619,000 home sales projected for the year.

new homes, highest rate, market pressure, new home builders, housing inventoriesThe median price of those new homes was $321,000, the highest median price ever recorded. That’s up 9.7 percent from sales one year ago. The median price reflects the number at which half of the homes sold at a higher price and half were lower.

While the sales point to improving employment rates and continued low interest mortgages, the 619,000 homes expected to sell this year lags behind the decade from 1990 to 2000, when Americans bought an average of 716,000 homes per year. New home sales peaked in 2005, with 1.3 million sales. The market began crashing in 2006 and by 2011 was selling just 300,000 homes per month. In 2015, Americans bought 503,000 new homes.

New home builders were surprised at the figures released this week but are buoyed that the spring sales are a harbinger of the industry’s best year in a decade.

Tuesday’s report showed that low housing inventories are holding back the overall market and have contributed to prices rising faster than wages for most would-be home owners. Analysts say it would take 4.7 months to sell the 243,000 new homes now on the market if the current pace holds up. In March, new home inventories were expected to sell in 5.5 months.

Inventory numbers in new homes are joined by low inventory numbers of existing homes, putting even more of a squeeze on first-time home buyers, and driving up prices.

New home sales are important to the overall economy because they create construction jobs as well as demand for building materials, such as lumber, bricks, cabinetry, bathroom fixtures and appliances. Construction expenses and commissions are used to calculate the country’s gross domestic product.

The news boosted the stocks of several publicly traded builders. Toll Brothers saw its stock jump 8.71 percent, KB Homes was up 7.46 percent, and Beazer saw a 9.17 percent increase.

Economists quietly worried that the April surge may be limited because of the inventory shortage and reluctance by builders to ramp up to pre-recession building levels. Such market pressure could result in even higher prices that would cause the number of sales to drop.

Regionally, new single-family homes sales increased 15.8 percent in the South to the highest level since December 2007. Sales soared 52.8 percent in the Northeast to their highest level since October 2007. Sales in the volatile West climbed 18.8 percent after dropping 15.2 percent in March. The only part of the country to see a decrease in new single-family homes sales was the Midwest, which fell 4.8 percent.

 

Source:  Baret News

Entertainment

Top Ten DVD List for May 23, 2017

  This Week’s DVD Releases by Kam Williams Top Ten DVD List for May 23, 2017 Get Out                https://www.amazon.com/exec/obidos/ASIN/B06WW76HBM/ref%3dnosim/thslfofire-20 Shake the Dust https://www.amazon.com/exec/obidos/ASIN/B06XRJ27W5/ref%3dnosim/thslfofire-20 My Life as a Zucchini https://www.amazon.com/exec/obidos/ASIN/B06WRTFKRY/ref%3dnosim/thslfofire-20 All Governments … [Read More its Good for You.....]

Books

Rising Star: The Making of Barack Obama

  Rising Star The Making of Barack Obama  by David J. Garrow William Morrow Hardcover, $45.00 1472 pages ISBN: 978-0-06-264183-0 Book Review by Kam Williams “Barack Obama's speech at the 2004 Democratic National Convention instantly catapulted him into the national spotlight and led to his election four years later as America's first African-American president. In this penetrating biography, David J. Garrow delivers an epic work … [Read More its Good for You...]

Art

The Day After the Day Of

  The Day After the Day Of by Paul Ilechko   The sky sheds its tears. This morning is the morning of the day after. The day of mourning, the day after the day of.  I beseech the sky to shed tears in order to wash away the tears on my face.   This is the first day of the time after. This is the beginning of a new time, the days of pain, the days of sorrow. We are in mourning. The sky looks down and sheds its tears for … [Read More its Good For You...]

Real Estate

History Being Sold to the Highest Bidder

  History Being Sold to the Highest Bidder by Amy Lignor   For the longest time, scientists and archaeologists have been confused and bemused by various discoveries they’ve unearthed that offer little or no explanation as to the who, what, and why of the people who created these things or left them behind. Even now, in 2017, there are discoveries being studied; stories that were once legends now have actual bits of proof being found that … [Read More its Good for You.....]

Lifestyle

Stunning Stenberg!

  Amandla Stenberg The “Everything, Everything” Interview with Kam Williams Stunning Stenberg! Amandla Stenberg first gained recognition for her role as Rue in The Hunger Games, alongside Jennifer Lawrence, Liam Hemsworth and Josh Hutcherson. After the success of that film, Amandla earned the 2012 Teen Choice Award with Jennifer for Best Film Chemistry. She was also nominated for NAACP Image and Black Reel Awards for that … [Read More its Good for You...]

Outdoors

Come to Tuna Town for the Best Offshore Fishing

  Come to Tuna Town for the Best Offshore Fishing                        By Craig Lamb Take a short drive south of New Orleans, and you come to the southernmost point in Louisiana. It's Venice and being at the end of the road is just the beginning of your trip for world-class yellowfin tuna fishing at Home Run Fishing Charters & Lodge. The business’ phone number even includes the fish: (504) 909-TUNA. “It’s why everybody wants to … [Read More its Good for You...]

Sports

A Sport Where You Feel the Thrill Without Going to the Extreme

  A Sport Where You Feel the Thrill Without Going to the Extreme by Amy Lignor   There are many sports “fanatics” out there who literally dive head-first into an extreme sport in order to get their adrenaline pumping – taking on a sport that comes hand-in-hand with a monumental amount of risk. But for those who are not interested in being scared to death, yet wish to feel the thrill, data has shown that zip lining has become the … [Read More its Good for You...]

Business

The Hottest Locales for Small Business in the U.S.

  The Hottest Locales for Small Business in the U.S. by Amy Lignor   No, Silicon Valley is not being replaced. However, with the Kauffman Foundation releasing its annual Startup Activity Index last week showing, in detail, trends in U.S. business startups for 2017, it was revealed that California has been booted out of first place. The top spot for new businesses to be built and thrive in the United States has been taken over by the big, … [Read More its Good for You...]

Travel

Once Upon a Time Vacations

  Once Upon a Time Vacations by Amy Lignor   Whether you are a lover of history or you simply have the “Beauty & the Beast” obsession – which, according to movie revenue data, millions all over the world are suffering from – just think how amazing it would be to stay in an actual castle. We already know what the beauty would be from the female perspective, but when it comes to the gentlemen out there, just think about how much … [Read More its Good for You...]

Green Living

Creating the Perfect Vegetable Garden

  Creating the Perfect Vegetable Garden by Amy Lignor   Many are still dealing with that wintery mix Mother Nature just loves to toss down from the sky this time of year. Yet, that gardener living inside the soul – the one just dreaming of the sunny skies and lazy rainy days that are must-haves in order to grow the best vegetables possible – is already jotting down the facts, tricks and tips they need to know in order to make that … [Read More its Good for You...]