Posted 3/25/2024, 3:44:38 PM
Home Sales Up But More Supply Needed to Cool Soaring Prices
- New home sales up 5.9% from a year ago, showing builders ramping up construction to meet demand
- More supply of new homes needed to tame down housing inflation
- Mortgage rates have settled into a "new normal" between 6-7%
- Pent-up seller demand as homeowners adjust to higher rates and need to move for various reasons
- Lower mortgage rates could spur more buyer demand, but more supply is needed to prevent price surges