By:Dennis Norman
Today the US Department of Commerce released a report on new residential construction for November 2008. Like so many real estate-related reports we are seeing today it was not pretty. The report,a joint release of the US Census Bureau and the US Department of Housing and Urban Development says building permits for new homes in November 2008 have decreased almost 50% from the same time last year. The report goes on to state that housing startshave dropped almost 50% in the past year as well.
Since part of the problem in the current real estate market is too much inventory this is good news. There is no point in increasing inventory when there are already too many homes in the market. The law of supply and demand always prevails. Presently we have too much supply for the demand. This has created,for many people,a once-in a lifetime opportunity to buy a home at a price that has been negatively impacted by the current market. History shows that buying a home during a depressed market pays off in the short to mid-term. For those that can take advantage now is the time to act!
Related posts:
- Commerce Dept reports drop in building permits- That’s GOOD news!
- New home building permits and construction increase in May
- Building Permits Jump in March;New Home Construction Still Outpacing Sales
- New Home Permits Drop Almost 10 Percent in May;New Home Starts Drop 17 Percent
- Existing homes sales down 2.7 percent in August;Median home prices drop 2.0 pecent for month
