The sale of newly constructed homes declined in December by 0.4% from the month before, according to the Department of Urban Development and the Census Bureau. This surprising development is attributed, in large part, to the increased cost of homes which are pricing many out of the market.
Matthew Speakman, an economist at Zillow said, “Still, with overall inventory as scarce as it is currently it’s clear that more new construction is desperately needed. And with low mortgage interest rates and a robust labor market…demand for housing will stick around…”