Depending on who you ask, the real estate market is running at a pace not seen in two years, while new home construction is plunging, but home and apartment construction is at a record level. Its all how you look at the numbers.
The first story, titled “Home Sales Post Biggest Jump In Two Years”, it refers only to existing home sales, not new home sales. February was relatively mild, so the increase in sales activity might be partly due to the uptick that normally occurs in a Spring market.
The second story, titled “New Home Sales Plunge 10% in Feb.” paints a bleaker picture. Although it attributes much of the slowdown to the South and West, and the increasing inventory of new homes can seem worrying, reading further down shows an increase of 5.2% in the Midwest area.
The third story paints a better picture on the state of new housing by stating “Construction Spending Hits Record Level”. Its is a bit more negative by reinforcing the weakness in the activity of housing markets.
The summary? People can use numbers to spin whatever story they want (the long-running predication of the housing bubble popping has been unfounded by reiterated for over two years), its important to closely read and research the story. Don’t depend on news stories when determining how to price your home, depend on a Realtor®.
