New home sales show slight improvement
National new home sales increased 7.3 percent in April to a seasonally-adjusted annual rate of 323,000 units, according to the U.S. Commerce Department (www.census.gov). National Association of Home Builders (NAHB) chairman Bob Nielsen analyzes the rise in new home sales, “The fact that new-home sales have now risen for two consecutive months is certainly welcome news following an all-time low sales number in February. That said, builders are still contending with a great deal of competition from foreclosed properties for sale in certain markets, and in places where this is not an issue, it remains extremely difficult to obtain credit to build new homes” (www.nahb.org). In the West, new home sales increased 15.1 percent in April 2011.
The chart below shows the national trend in new homes sales since September 2008, which illustrates the slight increase in new home sales over the last few months.
Sources: Source: U.S. Census Bureau. More information can be found at: www.census.gov