The US Census Bureau and Commerce Department released on January 26 the December 2011 New Residential Sales report. The report releases the numbers on new home sales with several points of statistical data on housing trends.
The report’s most glaring statistic was the record low of new home sales in the United States, with only 302,000 new homes sold in 2011. Prices for new homes are also near historical lows, with the average new home selling for just over $210,000.
The 302,000 new homes sold is a record low since 1963, when the government began keeping track of the numbers. Even with record low interest rates, many potential homebuyers are reportedly having a difficult time finding loans, as the industry has tightened standards and access to money is difficult. The last few years have shown a general downward trend in new homes purchased.
However, a trend in overall home sales appears to be generally rising, with recent reports showing an overall increase with existing home sales, and foreclosures and short sales are still in ample supply – which is another reason for the decrease in new home sales.
The general housing supply is close to the average. A 6-month supply of homes is still for sale on the market.