New Home Sales Soar
New homes sales were up nationally in April by 16.2% over March 2007. The south was the strongest region in the country, with sales up a whopping 27.8% over the previous month. This sound good at first read but is it?
I reviewed the sales figures for April resale homes in our area and they showed basically no improvement over March. The market is staying pretty much the same, not bad but not rip roaring either. So what is going on with new home sales?
The first thing that popped into my mind was the automobile industry after the attack on September 11, 2001. Do you remember all of the zero percent financing and huge incentives available that were offered to create sales at any cost? Well it did create sales in the short term for the car companies but at…