Today there is yet more evidence of a healing housing market. New homes sold in September at the fastest rate since April 2010, when sales were boosted by a tax credit for first-time homebuyers.
The Commerce Department says sales increased 5.7 percent to a seasonally adjusted 389,000-unit annual rate in September compared with a month earlier.
At September’s sales pace it would take 4.5 months to sell the houses on the market, the lowest since the peak of the housing bubble in October 2005. This low inventory seems to be a sign that there will be demand for new homes in the future.
Ample credit remains one of the factors hampering the market. Mortgage loans are harder to get for those looking to buy, and smaller construction businesses are reportedly having difficulty getting loans.