More home buyers are first-timers

first-time home buyers

According to the National Home Builders Association’s Housing Trends Report, the number of prospective buyers looking to purchase a home for the first time increased for a fourth consecutive quarter, up to 65% in the third quarter of 2021. A year earlier, NAHB says, the share was 56%.

Between the second and third quarters of 2021, the share of adults with plans to buy a home fell from 20% to 14% in the Northeast. In contrast, the share increased in the West (17% to 19%) and held steady in the Midwest (at 13%) and in the South (at 17%), NAHB’s Eye on Housing blog says.

More than half of prospective home buyers in every region are first-timers. In the third quarter of 2021, a record 69% of buyers in the Midwest are buying for the first time, along with 65% of those in the Northeast and South, and 61% in the West.

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Existing-home sales rebounded in September after seeing sales wane the previous month, according to the National Association of Realtors. Each of the four major U.S. regions witnessed increases on a month-over-month basis. From a year-over-year timeframe, one region held steady while the three others each reported a decline in sales.

Total existing-home sales completed transactions that include single-family homes, townhomes, condominiums and co-ops, rose 7.0% from August to a seasonally adjusted annual rate of 6.29 million in September. However, sales decreased 2.3% from a year ago (6.44 million in September 2020).

Sales of newly built, single-family homes in September rose 14% to an 800,000 seasonally adjusted annual rate from a downwardly revised reading in August, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau.

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