Evidence continues to point towards a strengthening real estate market not only in the metro Atlanta area, but throughout the country. According to new data from the U.S. Department of Housing and Urban Development (HUD) and the U.S. Census Bureau, new home sales rose to the highest level since 2008 in August.
Newly built single-family home sales increased 18 percent in August, bringing the seasonally adjusted annual rate of homes sold to 504,000 units. In addition to new home sales reaching their highest level in six years across the country, sales were also up regionally. In the South, new home sales rose 7.9 percent in August.
“This jump in sales activity is in line with our latest surveys, which indicate builders are seeing increased traffic and more serious buyers in the market for single-family homes,” said Kevin Kelly, chairman of the National Association of Home Builders (NAHB) and a home builder and developer from Wilmington, Deleware.
Not only are new home sales increasing, but the supply of new homes is growing as well. The number of standing inventory homes that were for sale grew to 203,000 in August, which equals a 4.8 month supply at the current sales pace.
“This robust level of new-home sales activity is a good sign that the housing recovery is moving towards higher ground,” said NAHB Chief Economist David Crowe. “Historically low mortgage rates, attractive home prices and firming job and economic growth should keep the housing market moving forward in 2014.”
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