Demand for new homes has peaked in the past 15 years

Photo of author

By admin

Sales of new single-family homes in the United States rose 4.8 percent in August this year, according to the Commerce Department. This is the highest level in the last 14 years. Year over year sales (seasonally adjusted) totaled just over 1 million homes, up 43 percent from last year.

The average August new home price was $ 312,800, down about $ 14,000 year over year. Despite the downturn in the US economy, new home sales are on the rise due to low mortgage interest rates (below three percent on average) and increased demand for housing. It began to grow after buyers, despite COVID-19, began to travel to inspect properties. “Mortgage rates have set several record lows in recent months and remained low in September,” said Freddie Mac chief economist Sam Hather.

Leave a Comment