Record New Home Sales – Record New Home Sales Pace in June, 2013
Many records have been set recently in the real estate market as the housing market finally seems to be on the upswing. Most of these record numbers are comparing their statistics to pre-Recession dates such as 2006 and 2007, however, June’s new home sales statistics are comparative to a much older record date – 1992. For the past 12 months, new home sales have increased 38%, the biggest annual gain since January, 1992. New home sales increased in June, 2013, 8.3%, the biggest monthly increase in 5 years.
The number of new homes sales in June was close to 1/2 million at 497,000. For a “normal economy,” the average sales pace of new homes is
700,000, so these numbers seem to be creeping closer to a balanced housing market. For real estate, one of the biggest factors in solid sales numbers is consistent hiring by employers and the continuously low interest rates for mortgages. 2nd quarter national employment numbers have also been slowing increasing as the unemployment rate is dropping.
The National Association of Home Builders (NAHB) constantly tries to keep the public informed of the importance of the housing industry. Most people don’t realize that with the building of just one home, there is $90,000 in tax revenue and the creation of approximately 3 new jobs. Even when the market lags a little because of slow growth in manufacturing or business investment, the steadily recovering housing market has been driving the economy towards an upward turn.
For the first time in 7 years, home builders are more confident in the market, which was proven here in St. Tammany Parish which is on pace this year to have the highest number of builder permits since the Recession. Also, resale home sales have stayed relatively close to the 3-year high they experienced in May, 2013. If “attitude is everything,” then builders and home buyers agree that the next 6 months are going to reflect strong numbers for new home sales.
Here at Bedico Creek Preserve in St. Tammany Parish, we are experiencing that significant increase in building permits pulled. We have added 3 new builders to our approved list of builders. Construction activity in our subdivision has surged with 6 new homes newly started or under construction. Visit Bedico Creek today to learn more about our neighborhood, our builders, our homes, and our lifestyle! Call 985-845-4200 or E-mail [email protected].
