Thursday, February 23, 2012

RESALE MARKET REBOUNDING MEANS GOOD NEWS FOR MODULAR HOME BUILDERS

U.S. home resales rose to a 1-1/2-year high in January, pushing the supply of properties on the market to the lowest level in almost seven years in a hopeful sign for the housing sector.

The National Association of Realtors said on Wednesday existing home sales increased 4.3 percent to an annual rate of 4.57 million units last month, the fastest pace since May 2010.

It was the latest indication the housing market may be coming off the floor. While economists attributed some of the rise to unseasonably warm winter weather, they also said it signaled genuine improvement.


Sales were up across all four regions of the country, with the West recording the biggest gain -- an 8.8 percent increase.
A brightening economic outlook, marked by a strengthening labor market and buoyant factories, is giving the housing market some lift. Confidence among homebuilders is near five-year highs and they are breaking more ground on new housing projects.  All this is good news for modular home factories and their authorized builders.

Residential construction is expected to contribute to growth this year for the first time since 2005.

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