We’re always looking at the market trends and shifts so that you don’t have to. One of the trends we were seeing to end 2018 and at the beginning of 2019 was the slowing of newly built homes. This trend has seemed to reversed, and new home sales are up throughout the country.
A report was published by The Wall Street Journal that states:
Sales of new homes in the U.S. increased for the second month in a row in February, a positive sign after a weak stretch for the housing market.
Purchases of newly built single-family homes—a relatively narrow slice of all U.S. home sales—rose 4.9% to a seasonally adjusted annual rate of 667,000 in February, the Commerce Department said Friday. This is the highest level since last March. Economists surveyed by The Wall Street Journal had expected a 2.1% rise.
Sales were up 0.6% in February from the prior year. The pace of new-home sales remains well below the elevated levels seen before the 2007-09 financial crisis and recession.
This is great news for the local real estate market because of the amount of new construction here in Utah. This report, combined with last month’s report that existing home sales increased 11.8%, gives us a feeling that 2019 could continue to be an appreciating real estate market.