New Home Sales Up 35 Percent In January
By Bobby Freeman // February 18, 2014
Adams Homes enjoys 130 percent SALES increase
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BREVARD COUNTY, FLORIDA – The Mortgage Bankers Association (MBA) estimates that sales of new single-family homes were running at a seasonally adjusted annual rate of 543,000 units in January 2014, based on data from MBA’s Builder Applications Survey (BAS).
The estimated 543,000 unit annual sales pace in January was a 35 percent increase from December’s pace.
On an unadjusted basis, the MBA estimated 38,000 new home sales in January – a 36 percent increase from the level of 28,000 units in December.
The new home sales estimate is derived using mortgage application information from the BAS, as well as assumptions regarding market coverage and other factors.
Locally, Adams Homes has been serving home buyers in the Melbourne – Palm Bay area since 2001 and has built more than 1,000 new homes in the area.
Adams Homes experienced a nearly 130 percent increases in sales year-over-year from 2012 to 2013, according to Elizabeth Porter, East Coast Regional Manager for Adams Homes, who also said:
“Our primary market is first-time buyer and first-time move-up families.
During the downturn, building codes changed and today’s homebuyers benefit from not just the newest fixtures and modern layouts but today’s homes are built nearly 50 percent more energy efficient than homes built 2006 and 2007.
We had corporate relocation customers as well as “boomerang buyers,” those that foreclosed two to three years ago and are back in the market. We are planning for a strong 2014 with urgency being driven by two key factors: rising interest rates and diminishing market supply.”
Mortgage applications for new home purchases increased by 27 percent relative to the previous month. That change doesn’t include any adjustment for typical seasonal patterns.
“While the big jump may appear to conflict with other data, such as MBA’s purchase application index and NAR’s existing home sales data that point to a weak market for existing homes, our Builder Application Survey estimate is consistent with reports of homebuilder sentiment that show strength in the market for new homes,” said Mike Fratantoni, MBA’s chief economist.
“It is also worth noting that the significant January increase also followed a particularly slow pace of sales in November and December.”
ABOUT THE AUTHOR
Bobby Freeman, a life-time resident of Brevard County, has been a top Realtor in the area for two decades. In his first year as an agent, Freeman received a Rising Star award from his Brokers. Since then he has achieved numerous sales awards and has recently been presented with the prestigious RE/MAX Hall of Fame Award.
Freeman, Jennifer McCoy and Nikki McCoy Freeman are family partners for RE/MAX Elite’s McCoy-Freeman Group. Together they have more than 30 years of extensive experience in all aspects of the real estate industry and have sold over $200 million.
Among McCoy-Freeman Group’s achievement are RE/MAX Hall of Fame, RE/MAX 100% Club, Certified Distressed Property Experts (CDPE), Accredited Buyer’s Representative (ABR) and voted Best Realtor in Brevard County.
The group has been featured in many news publications including CNN Money Magazine, CNNMoney.com, WFTV 9 ABC News, Coastal Condo Living, & Hot Retirement Towns Magazine and SpaceCoastDaily.com.
For more information log on to BrevardRealtyConnection.