Sales of new single-family homes dropped by less than 1 percent in January from an upwardly revised annual pace of 321,000, the U.S. government reported Friday.
Although a decline, the figures were good news, said Barry
Rutenberg, chairman of the National Association of Home Builders, and a builder
from Gainesville, Fla.
"Outside of the upwardly revised December number,
this is actually the best sales pace we've seen since April of 2010, when the home
buyer tax credit was in effect," Rutenberg said. "Moreover, many
recent indicators, from our builder confidence surveys to housing starts and
permits data and the expanding list of improving local markets, have provided
evidence that consumers are becoming more confident about making a home
The sales pace was the fastest since April 2010.
"New-home sales this January were up 3.5 percent
from the same time last year, and up one percent from the fourth quarter
average for 2011," added NAHB chief economist David Crowe. "This is
indicative of the incremental, steady progress that the market is making toward
recovery in conjunction with modest economic and job growth. Increasingly,
potential buyers are feeling better about their financial situation and their
ability to buy a home, but the challenges posed by tight credit conditions and
appraisal issues continue to slow that process."
January new-home sales flat
February 27, 2012