Industry Buzz: Studies Point to Increase in Home Sales for 2012
Whether you are a builder, designer, custom integrator or a homeowner simply interested in keeping tabs on the ups and downs of the American housing market, you’ll be pleased to see that the final housing numbers for this past calendar year are in — and they look promising.
With a near 10% increase in home sales for 2012, this year’s housing numbers confirm a much-needed, and highly-anticipated recovery momentum in our nation’s housing market. Overall sales of single-family homes were up an estimated 9.8%between 2011 and 2012, and the median sales price of homes sold rose almost 7% as well.
The U.S. Commerce Department reports sales of new single-family homes totaled 367,000 in 2012, which is 19.9% better than in 2011. The median price of new homes sold during 2012 was $243,600, while the average sales price was estimated at $288,400. These represent gains of 7.2% and 7.7%, respectively, over 2011’s median and average sales prices for new homes sold.
Separately, the National Association of Realtors estimates a total of 4,127,000 previously-owned single-family homes were sold over the course of 2012, an increase of 9% from the 3,787,000 existing homes that changed owners during 2011. The median price of an existing single-family home sold in the U.S. last year was $176,900, an increase of 6.4% from 2011. The average price was up 5.2% over the year to a level of $225,500.
Carrying on the good news, housing market forecasters expect the recovery to continue to strengthen, gathering additional momentum over the next two years. The current consensus forecast looks for sales gains averaging 18.4% for new single-family homes and 7.8% for already existing homes during 2013, and for overall single-family home sales nationwide to expand by at least another 8% during 2014.
New Home Construction and Sales
Alongside the facts and figures for home sales, those involved in new home construction will be equally as impressed. Sales of new single-family homes rose last year to the highest level since 2009, a sign the troubled U.S. housing market truly has turned a corner.
Americans bought 367,000 new single-family homes in 2012, up 19.9% from the prior year — the Commerce Department said last week — adding that sales hit a nearly three-year high in November, before pulling back somewhat, later in December.
Surprising to some, the housing sector has been a point of strength in the economy over the last year, something we all can can appreciate for what it means in regards to progress and a more powerful future.