Print This Article			Print All Articles			Email the Editor

New Single-Family Home Sales Continue at a Brisk Pace in October

Sales of new single-family homes rose 0.2% to a seasonally adjusted annual rate of 1.226 million units in October, the U.S. Commerce Department reported last week, which was 7.4% above the sales pace of a year earlier.

“The momentum continues in the single-family housing market, thanks primarily to long-term interest rates that remain below 6%,” said NAHB President Bobby Rayburn. “New-home sales definitely are headed for a new record in 2004.”

“Attractive interest rates coupled with an improving job market and increased household income are unquestionably the key factors that continue to drive buyer demand,” said NAHB Chief Economist David Seiders. “The most recent NAHB/Wells Fargo Housing Market Index, based on our monthly surveys of single-family builders, reflects the builders’ continued confidence and optimism in the housing market.”

October’s new home sales were up 19.7% in the Northeast and 12.7% in the West; they dipped 3.6% in the Midwest and 9.1% in the South.

The inventory of unsold new homes was 412,000 units in October — a 4.1-month supply at the current sales pace and slightly higher than the previous month.

go to top