“Foot Traffic Has Doubled Since September”
There’s a lot of evidence that the housing market is mending. Existing home sales are up. More homes are under contract. Things even “feel different” — just ask a friend who’s shopped for a home this year. You’ll hear stories of competing offers and “great homes” that sold in a week.
You didn’t hear that stuff six months ago and it’s this particular zeitgeist that the National Association of Homebuilders’ Housing Market Index attempts to measure.
In its simple, 3-question survey, the NAHB ask its members about their respective businesses, and what they seeing “on the street”. The NAHB then compiles those answers into a weighted survey result called the Housing Market Index.
The Housing Market Index questions are :
How are market conditions for the sale of new homes today?
How are market conditions for the sale of new homes in 6 months?
How is prospective buyer foot traffic?
In February, the nation’s builders reported improvement in all three areas. Current home sales climbed 5 points from the month prior; sales expectations for the next 6 months climbed 5 points from the month prior; and buyer foot traffic moved higher again, marking 6 straight months of improvement.
There are now twice as many buyers touring models as there was in September 2011. Clearly, interest in homes is rising. In fact, in Short Hills, NJ we have already had 40% more closed sales than last year. In Maplewood, we are up 61% in closed sales and under contracts this year to date versus last year to date.
You can see more area statistics at: http://youtu.be/sYEr00Yaydc