Think its tough for resale homes…..
Builders have it worse!
Yesterday Julie and I saw a sign from a new homes builder…that read…(get ready for this, you won’t believe it)
“Buy A Home And Get The Second Home For Free”
And for builders, it gets worse…
New home sales fell to their lowest level in 13 years in February, according to a key government report on the battered housing market released Wednesday.
February sales came in at a seasonally-adjusted annual rate of 590,000, the Census Bureau report showed, down 1.8% from a revised 601,000 in January and down 29.8% from a year earlier.
New home sales fell despite continued price declines. The median price of a new home sold in February was $244,100, down 2.7% from $250,800 a year earlier.
This decline in median price probably doesn’t accurately capture the weakness in prices for new homes, since about three out of four builders have reported having to pay buyers’ closing costs or offer other incentives, such as expensive features for free, in order to maintain sales.
“Falling prices are a double-edged sword,” said National Association of Home Builders chief economist David Seiders. “Affordability of homes needs to be restored, but some prospective buyers stay away because they believe home prices will continue to go down further.”
Tags: 13 years, affordability, agent short sale secrets, census bureau, census bureau report, chief economist, closing costs, decline, double edged sword, february sales, government report, harris real estate university, Housing Market, incentives, median price, national association of home builders, new homes, prospective buyers, tim and julie harris
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