Sales of newly built, single-family homes rose 6.6 percent in September, the best rate since June, according to data released by the U.S. Commerce Department, said a press release by the National Association of Home Builders (NAHB). The number of units sold rose to a seasonally adjusted rate of 307,000.
Newly built home sales rose in three of the four U.S. regions. The Midwest had the biggest increase, with a 60.6 percent gain. Sales were up 3.4 percent in the Northeast and 3.2 percent in the Southeast. The West was the only region with a decline, with 9.9 percent fewer sales.
The Commerce Department data also showed that the supply of new homes in September was 8.0, down from 8.6 in August. The number of newly built, unsold homes on the market has been declining since 2007, said NAHB Chief Economist David Crowe in the release. “This suggests that builders continue to prudently winnow down their inventories,” he said. “That said, the concern is that builders’ ongoing difficulty in accessing production credit will keep the razor-thin supply of new homes from being replenished as consumer demand revives, thereby hindering the positive momentum.”