U.S. housing demand rises in more affordable price range: report

Source: Xinhua| 2019-03-15 13:36:37|Editor: Shi Yinglun
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WASHINGTON, March 14 (Xinhua) -- U.S. housing demand was increasing for homes sold in an affordable price range, National Association of Home Builders (NAHB) reported on Thursday.

The NAHB said that in January 2019, 66 percent of new single-family home sales in the United States were priced between 200,000 and 400,000 U.S. dollars. Meanwhile, only 22 percent of homes were sold at the price range of 400,000 to 750,000 dollars.

However, in January 2018, 51 percent of homes were sold at the price from 200,000 to 400,000 dollars. In the meantime, 29 percent of homes were priced between 400,000 to 750,000 dollars.

"These numbers indicate that builders who can produce housing at affordable price points in markets across the nation will be able to meet this sales demand that is generated by healthy household formations and solid job and wage growth," said Robert Dietz, chief economist of the NAHB.

Greg Ugalde, chairman of NAHB, said the housing market could expect a solid buying season ahead due to the recent drop in mortgage rates.

"Declines in mortgage rates brought buyers back into the market at the end of 2018 and moving into the new year," said Ugalde, "after a challenging period last fall, builders expect a solid spring home buying season."

For the week ending March 14, 30-year fixed-rate mortgage (FRM) in the United States dropped 10 basis points to 4.31 percent, the U.S. Federal Home Loan Mortgage Corporation, commonly known as Freddie Mac, said on Thursday.