Best of all, people are buying those new homes.February saw New Home Sales move up 2.0% for the month, to a 512,000 annual rate, the fourth increase in the last five months.Analysts are putting this to employment gains and a pickup in wage growth, making buying a home within the reach of more people. Buyers have shifted slightly to newly built condos, which aren't counted in the New Home Sales report. The inventory of new single-family homes grew by 4,000 in the month, but is still very low by historical standards. Finally, the FHFA index of homes bought with conforming mortgages was up 0.5% in January and up 6.0% versus a year ago.
The down side to all this is that the Fed thinks there's still a great deal of economic uncertainty going forward. Indeed, the week provided evidence of the so-called "fragility" of this economic recovery. Both the PPI measure of wholesales prices and the CPI gauge of consumer prices dipped in February, drifting further away from the Fed's 2% inflation target. Retail Sales also contracted last month, while Michigan Consumer Sentiment fell some for March. Yet Empire Manufacturing showed growth in factory activity in the New York region for the first time since last July. And we had that very nice Housing Starts number. Fortunately, economic uncertainty goes both ways.
The week ended with the Dow UP 2.2%, to 17599; the S&P 500 UP 1.4%, to 2050; and the Nasdaq UP 1.0%, to 4796.
Author:Salvatore Defrisco Phone: 561-644-0052 Dated: April 1st 2016 Views: 142 About Salvatore: ...
View our latest blog posts in your RSS reader. Click here to access.
We are a full service real estate brokerage with over 100 agents to serve you. Let us be your real estate resource. Regardless whether you need to buy or sell now, or sometime in the future, let us help you. We are no pressure and will always try and help. Contact us at 561-792-3948 now.
"Tue, May 17, 2016
Just wanted to take a moment to recommend an outstanding real estate agent. About a year ago my wife and I looked into buying a new house. We looked at exit realty's website and the next morning we received a call from Joseph Schneider. He is a true professional with an outstanding personality he will instantly make you feel welcome as if you're working with a longtime friend. My wife had unusual requests for the property and Joseph listened and found the property meeting all our needs. He is patient and knowledgeable I would recommend him to all. We purchased our new home in August and since then Joseph has remained in contact, just checking in from time to time. You can look but I doubt you will find a better agent !"