September sees rise in sales of new homes

Sales of new homes rose recently.
Sales of new homes rose recently.
The Census Bureau and Department of Housing and Urban Development recently said sales of new, single-family homes were up in September.

According to the two government agencies, sales of new homes were up 6.6 percent when compared to August to reach a seasonally adjusted yearly rate of 307,000. While September showed improvement, it was still 21.5 percent lower than was seen during the ninth month of last year.

Construction equipment users should see September's results as good news, even if sales are rising slowing. National Association of Home Builders chairman Bob Jones said the number of transactions is finally advancing in the right direction.

"The road to recovery will be a long one, however, and a key hurdle that must be surpassed is the lack of available credit for new-home construction so that builders can meet improving demand for new homes moving forward," Jones said.

According to the NAHB and Wells Fargo, confidence among home builders increased in October, which was the first positive increase seen in that metric since June.