Report: 2020 new home sales expected to reach 13-year high

Report: 2020 new home sales expected to reach 13-year high

Purchases of new homes will rise to their highest level since 2007 according to a forecast made by the National Association of Realtors’ Chief Economist, Lawrence Yun. Specifically, he anticipates a 11 percent increase to 750,000 units.
“Some loosening in inventory will happen in 2020, and so we expect home sales to rise,” said Yun. “We’ll see an increase in inventory, but not any oversupply, so home prices should continue to move higher – our hope is in a much tamer fashion.”
Yun also predicted that the sale of existing homes will rise in 2020 by 3.7 percent to 5.56 million, the highest level since 2017.
Today, conforming no-point 30-year fixed mortgage rates are averaging 3.875 percent and 15-year rates are near 3.375 percent.
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