Real Esate Blog

The chart below most clearly illustrates the decline in new home sales of the last few years. The chart is hard to read here because I has to shrink it so it would fit. But, for your info, new home sales peaked in 2005 at somewhere around 1.35 million unit per year. They are now running around .2 million per year. Wow! What a drop! Will we ever see that 1.3 million units per year again?? I doubt it in the short run (2-4 years) but I do believe we will increase greatly over the current 200,000 unit per year. Demand has certainly not declined that much, just the uproar over homes prices and availability of credit.