Sales of new single-family homes spiked 8.3 percent in June to a seasonally-adjusted annual rate of 497,000 units, says the National Association of Home Builders (NAHB), their best pace in the last five years, according to the Dept. of Housing and Urban Development and the Census Bureau. The inventory of 161,000 new homes for sale in June marks a thin, 3.9 month inventory at the current sales pace, the lowest level since March of 2004. Rick Judson, NAHB Chairman, says, “The very low supply of new homes on the market is indicative of the difficulty that builders are having in keeping up with demand due to availability issues with regard to materials, credit, labor and lots for development.” Regionally, three of four experienced gains in new home sales: The Northeast increased 18.5 percent, the West posted a 13.8 percent gain, and the South moved up 10.p percent. The Midwest fell 11.8 percent, as MHProNews has learned.
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