The Real Deal New York

New home purchases reach highest level since 2007

It's the biggest monthly gain since January 1992
October 25, 2017 12:05PM

The wake of destruction left by hurricanes Harvey and Irma are having a perhaps unexpected impact on national housing figures. Government data show that the number of contracts signed for new homes surged last month to the highest level in a decade.

The increase in the number of properties in which construction hadn’t yet started is said to account for the biggest monthly gain in home sales since January 1992. The figures show 236,000 newly planned properties, the most since January 2007. The spike signals that residential building will strengthen in coming months, according to Bloomberg.

The boom was concentrate mostly in the South, which may be a reflection of growing demand following the storms. But throughout the nation sales were firm.

New-home sales account for about 10 percent of the market. [Bloomberg]Christopher Cameron