Sales of new single-family homes rose 4.8 percent to a seasonally adjusted annual rate of 1.12 million units in December, according to figures released by the U.S. Commerce Department. The National Association of Home Builders (NAHB) said the housing demand was a further sign of stabilization in the U.S. housing market.
On an annual basis, new home sales registered 1.061 million units in 2006. NAHB pointed out that, while this represents a 17.3 percent drop from the all-time high achieved in 2005, the sharpest percentage decline since 1990, the sales level was on par with the solid sales numbers registered in 2003, which preceded an unsustainable housing boom of 2004 and 2005. On a quarterly basis, new home sales posted a rate of 1.061 million in the final quarter of 2006, up from 1.007 million in the third quarter, the quarterly low-point for the year.
The inventory of new homes for sale hit a 10-month low of 537,000 units in December, which is equivalent to a 5.9-month supply at the current sales price--down from a recent high of 7.2 in July.
to Daily News