In October, a mix of regional factors, higher mortgage rates, and extreme weather caused sales of newly built single-family homes to tumble. At the time, it was thought to be a temporary setback rather than the start of a downward trend. That now looks to be true. In fact, new numbers from the U.S. Census Bureau and the Department of Housing and Urban Development show new home sales charged back in November, increasing 5.9 percent from October’s level and 8.7 percent from a year ago. The rebound helped reset the previous month’s declines. For example, November data shows the South bounced back 13.9 percent from October, when sales were down sharply due to the hurricanes that affected the region. The results also continue a long-term trend in the new home market, which has been outperforming the market for existing homes for some time now. With new home sales and inventory both rising, newly built homes are increasingly an option for home buyers frustrated by a lack of available older homes for sale. (source)
