New Home Shoppers on the Rise

By Lucy Mitchell
Dec 23 2010

The US government announced this morning that the number of new home shoppers in the market is currently on the rise.

Over the past three years new homes have become a drain on the overall shopping market. This is due to the fact that they are often more difficult to move with a high price tag. Nonetheless, this year has been different and it is starting to make some investors feel like the worst is behind them.

New home sales have remained stagnant for the past several months but the government showed this morning that the new figures have been moving up slightly. According to the newest data, new home sales are up 5.5% which is a tremendous increase for the slushy market at this point.

The Obama administration has been hopeful that certain stimulus points would further boost the market that has been in a free fall for so long. But for the past year little has changed.

The government pointed out that this is the first real increase in new home sales since the end of the stimulus bill tax credit for first time home owners. As the tax credit came to an end, the sales of homes, both new and existing began to drop. By the end of this past summer the home sales were completely flat.

With the new information that has been released the government is hopeful that the upswing will continue. The key, according to some experts, to saving the housing market are shoppers who are willing to buy with a down market.