There aren’t as many homes for sale as there used to be. In fact, the inventory of previously owned homes available for sale has seen double-digit decreases over the past few years. That’s produced some challenges for today’s home buyer. It’s also produced opportunities for builders, as more buyers turn to the new home market to find a home that fits their needs. In fact, new home construction – which is considered a good indicator of housing market health – has been increasing lately. It did again in October. New numbers from the U.S. Census Bureau and the Department of Housing and Urban Development show housing starts up 1.9 percent from September and permits to build new homes at the highest level in nearly a year and a half. The October improvements came as mortgage rates were increasing and builders were feeling less optimistic about the market. However, since then, rates have begun to fall. If that trend continues, it could mean more gains for new home construction as we approach spring 2024. (source)
