New Home Sales Set Four-Month High for March 2018
New-home sales ramped up in March 2018 as it set a new four-month high, according to recent reports. The West dominated new home sales with a dominant first-quarter.
"Single-family home sales rose 4% month-over-month to a 694,000 annualized pace (well above an estimate of 630,000), after a 667,000 rate (revised from 618,000) in February," according to National Mortgage News.
"Purchases in the West jumped 28.3% to a 222,000 annualized rate, the fastest since December 2006, according to data released by the Census Bureau and the Department of Housing and Urban Development."
With a stable economy producing a healthy amount of job opportunities, there is a new confidence among consumers when it comes to purchasing a home.
Though, consequences of a healthy housing market includes heightened mortgage rates and an increase in home prices. Unfortunately, wages have not been able to keep up with these elements, making it hard for the younger generation of Americans to purchase a home.
"New-home sales, tabulated when contracts get signed, account for about 10% of the market," according to NMN.
"They're considered a timelier barometer than purchases of previously owned homes, which are calculated when contracts close and are reported by the National Association of Realtors."
To learn more about the up-tick in new-home sales, click on the image above.