Close Menu
  • Home
  • Finance News
  • Personal Finance
  • Investing
  • Cards
    • Credit Cards
    • Debit
  • Insurance
  • Loans
  • Mortgage
  • More
    • Save Money
    • Banking
    • Taxes
    • Crime
What's Hot

How Brian Peret went from inmate to AI academy director

December 25, 2025

5 Things to Know About the Aven Rewards Card

December 25, 2025

First-time car buyer programs: What they are and how to apply

December 25, 2025
Facebook X (Twitter) Instagram
Facebook X (Twitter) Instagram
Smart SpendingSmart Spending
Subscribe
  • Home
  • Finance News
  • Personal Finance
  • Investing
  • Cards
    • Credit Cards
    • Debit
  • Insurance
  • Loans
  • Mortgage
  • More
    • Save Money
    • Banking
    • Taxes
    • Crime
Smart SpendingSmart Spending
Home»Banking»Lower rates reinvigorated new home sales in March
Banking

Lower rates reinvigorated new home sales in March

April 21, 2025No Comments2 Mins Read
Facebook Twitter LinkedIn Telegram Pinterest Tumblr Reddit WhatsApp Email
Lower rates reinvigorated new home sales in March
Share
Facebook Twitter LinkedIn Pinterest Email

The month of March saw a renewed interest in newly constructed properties, as rates slightly loosened and the spring homebuying season kicked off. 

New-home purchases grew 14% from the month prior, the Mortgage Bankers Association Builder Application Survey data reveals. This is up from the 0.4% growth seen in February and a 5.5% increase from a year ago.By loan type, conventional loans accounted for 49% of applications, while FHA and VA loans made up 37% and 13%, respectively.

“Applications for new home purchases increased in March, consistent with typical seasonal patterns and supported by mortgage rates that had been drifting lower,” said Joel Kan, MBA vice president and deputy chief economist, in a press release. 

The seasonally adjusted pace of new-home sales slightly dipped in March. As a result, sales amounted to 629,000 units, a 0.8% dip from 634,000 units a month prior.

“The growing inventory of newly built, move-in ready homes supported homebuyer interest over the month, pushing the index higher than last year’s levels. Our estimate of seasonally adjusted new-home sales saw a slight decline in March but were stronger than last year’s pace of sales,” added Kan.

Unadjusted sales amounted to 61,000 homes, a 7% increase from 57,000 properties purchased in February, the trade group’s estimates said.

Despite a spike in new-home purchase applications, it is too early to tell whether this trend will continue.

The average loan size for new homes decreased from $397,516 in February to $381,921 in March, per the survey.

Though that may soon change as a result of on-again, off-again tariffs, which may jack up material costs for homebuilders that ultimately get passed along to buyers.

See also  Bank trade group opposes Coinbase charter application

As economic uncertainty remains due to inflation concerns, uncertainty around tariffs and shifting expectations about future Federal Reserve policy, interest rates have quickly rebounded, hovering close to 7%.

Source link

Home March rates reinvigorated sales
Share. Facebook Twitter Pinterest LinkedIn Tumblr Telegram Email
Previous ArticleCreating Your Financial Fallback Position
Next Article Magic number to retire comfortably is $1.26 million in 2025: report

Related Posts

How Brian Peret went from inmate to AI academy director

December 25, 2025

5 times politics impacted banking in 2025

December 25, 2025

It’s all on the line for the CFPB in 2026

December 25, 2025
Add A Comment
Leave A Reply Cancel Reply

Top Posts

The average age of first-time U.S. homebuyers is 38, an all-time high

November 6, 2024

Manulife’s Natasha Duric: A 30-year mortgage career built on leadership and innovation

October 10, 2024

American Express buys all of Swisscard, FCA adds BNPL regs | PaymentsSource

October 24, 2024
Ads Banner

Subscribe to Updates

Subscribe to Get the Latest Financial Tips and Insights Delivered to Your Inbox!

Stay informed with our finance blog! Get expert insights, money management tips, investment strategies, and the latest financial news to help you make smart financial decisions.

We're social. Connect with us:

Facebook X (Twitter) Instagram YouTube
Top Insights

How Brian Peret went from inmate to AI academy director

December 25, 2025

5 Things to Know About the Aven Rewards Card

December 25, 2025

First-time car buyer programs: What they are and how to apply

December 25, 2025
Get Informed

Subscribe to Updates

Subscribe to Get the Latest Financial Tips and Insights Delivered to Your Inbox!

© 2025 Smartspending.ai - All rights reserved.
  • Contact
  • Privacy Policy
  • Terms & Conditions

Type above and press Enter to search. Press Esc to cancel.