New home sales remain level in August

Sales of new homes remained even in August.
Sales of new homes remained even in August.
Business conditions for construction equipment users didn't get better in August, but they also didn't get worse.

According to the Census Bureau and the Department of Housing and Urban Development, August sales of new, single-family homes stayed steady at an annual rate of 288,000. While the number remained equal to July's total, it was 28.9 percent lower than the same month in 2009.

August of last year saw an annualized sales rate of 405,000 new, single-family homes, the departments said.

David Crowe, chief economist for the National Association of Home Builders, said the housing market continues to wait for improvement.

"While historically low interest rates and affordable prices should attract potential home buyers to the market, the slow pace of economic recovery and worries about job security are keeping many of them on the fence," Crowe said.

While sales for new homes remained steady, the National Association of Realtors said transactions for existing houses increased 7.6 percent in August to an annual rate of 4.13 million. However, that is still 19 percent lower than the 5.1 million pace seen during the same month last year.