New Home Sales on the Rise in September
With mortgage financing costs remaining low and the nation’s economy continuing to improve, sales of new single-family homes rose 3.5% in September to a seasonally adjusted annual rate of 1.206 million units, the U.S. Commerce Department reported last week.
Sales in September were 7% stronger than during the same month a year earlier.
“With long-term mortgage rates below 6% and adjustable rate mortgages around 4%, buyers have had a powerful incentive to buy and we expect robust sales to continue in the coming months,” said NAHB President Bobby Rayburn.
The latest NAHB/Wells Fargo Housing Market Index, which is based on monthly surveys of single-family builders, indicated that there was a large turnout of prospective buyers at model homes and sales centers last month, Rayburn added.