October New-Home Sales Climb to 430KNov 25 2009
November 25, 2009 - Far surpassing many economists' predictions, October's single-family home sales surged 6.2% to a seasonally adjusted rate of 430,000 units. October's unexpected gain marks the highest rate since September 2008.
This rebound can be largely credited to the South's hefty 23.2% new-home sales gain. Sales in nearly every other region were significantly down for the month, but it's hopeful that the tax credit extension will turn those stats around.
Prior to the extension of the first-time homebuyer tax credit, some forecasters thought that its imminent expiration was going to ward off several buyers. However, since the extension was implemented in the beginning of the month, new-home sales may begin to trend upward in the next few months.