There are plenty of interested home buyers out there but the number of available homes for sale remains low. That creates challenging affordability conditions as it helps push home prices higher. It also creates an opportunity for home builders.
Fortunately, it seems they're answering the call. In fact, according to new residential construction numbers from the U.S. Census Bureau and the Department of Housing and Urban Development, building permits for new single-family homes hit a 12-month high in June – rising 2.2 percent from the month before. That means home builders are ramping up construction of new homes to help meet demand from buyers.
The increased supply will not only help new-home shoppers but also buyers of existing homes, as any increase in the total number of available homes for sale relieves upward pressure on home prices.
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