Economic Watch: April New Homes Sales Up from March
May 23, 2014
Sales of new homes in the U.S. rose in Apri, ending two months of back-to-back declines, according to the U.S. Commerce Department.
It increased 6.4% in April from the month before but fell 4.2% from the same time in 2013.
Sales exploded in the Midwest, increasing 47.4%, while gaining just 3.1% in the South. The West reported sales were flat while they fell 26.7% in the Northeast.
There have been concerns about the housing market and it effect on the overall health of the economy, following disappointing numbers reported during the severe winter, while there are still some lingering concerns.
John Canally, an investment strategist and economist at LPL Financial, was quoted by Forbes.com as saying, "While the April number is nice to see, you really want to see follow through in May and June. The whole story hasn't been told yet.”
Current sales levels are about half of what they were before the Great Recession, what some consider to be a “healthy” level for home builders.
The report follows one recently from the National Association of Realtors showing existing home sales in the country surged in April posted their first monthly increase this year while housing starts surged.