New home inventory for sale, up 1.3 percent from the previous month as well as the highest level this year, was 226,000 units at the end of October, equal to a 5.5 months supply at the current pace of sales. The median sales price of a new single-family home fell six percent from October 2014 to $281,500.
These numbers are in contrast to other housing figures: housing starts fell 11 percent in October, existing home sales dropped 3.4 percent, and the National Association of Home Builders (NAHB) tells MHProNews homebuilders sentiment slipped three points to 62.
However, the bottom line indicates this year has been overall good for the housing market, probably the best since 2007, as the economic environment and employment picture improved. Despite the likelihood of a hike in interest rates in the near future, rising consumer confidence, the better job market, moderating home prices, rising household formation and rising rentals point to continuing momentum in the demand for housing in 2016. ##
(Photo credit: housingwire-new home construction)
