After improving 1 percent in August, New Home Sales popped another 7 percent in September.
It’s no wonder Home Builder confidence is at a 5-month high.
- Sales volume is higher in 4 of the last 5 months
- New home supply is at a 5-month low
- Buyer foot traffic is on the rise
For Home Buyers in Blue Ridge and Blairsville, September’s New Home Sales data may foreshadow a shift in builder sales strategies and it’s something worth watching.
Recall that in April, the month that the federal home buyer tax credit contract deadline passed for non-military citizens, sales of new homes was strong as buyers rushed to meet the April 30 cut-off date.
When the month ended, there were 216,000 new homes for sale — an inventory that would have taken 6 months to sell off in full, given April’s sales pace.
In May, however, the month after the tax credit deadline, buyers vanished. As a consequence, total units sold dropped 31 percent to their lowest level in recorded history. Coincidentally, at the end of May, there were still 216,000 units for sale.
By contrast, though, at May’s sale pace, the inventory would have needed nine months to sell out.
This is why builders are optimistic. The market for new construction is improving so buyers may have a harder time trying to negotiate for items like free upgrades or sales price reductions. So long as New Home Sales improve, home buyers may find themselves paying more money for less house.
Therefore, if you’re in the market for a newly-built home somewhere near The North Georgia Mountains, you may want to move up your time frame. The longer you wait, the more it may cost you. Please Call Today at 877.633.8186, or Contact Me so that we can get things started. I am looking forward to hearing from you soon. Make it a GREAT day!