US Sees Big Shift in Attitude on New Houses

Nobody wants them; they'll take foreclosures instead
By John Johnson,  Newser Staff
Posted Apr 23, 2011 10:03 AM CDT

(Newser) – If previous patterns held, sales of new homes would be seeing a healthy bounce right about now, notes the New York Times. After all, the economy is showing a little life, rates are low, and demand has been pent-up for a while. The reality? Sales of new homes were down a staggering 80% in February from the boom times of 2005, and there's no end in sight. In fact, a fundamental shift might be under way in home shopping.

story continues below

"Instead of wanting the biggest and the newest, even if it requires a long commute, buyers now demand something smaller, cheaper and, thanks to $4-a-gallon gas, as close to their jobs as possible," writes David Streitfeld. "That often means buying a home out of foreclosure from a bank." The stats confirm: These days, four out of 10 sales of existing homes are either foreclosures or something like it. (Read more home sales stories.)

We use cookies. By Clicking "OK" or any content on this site, you agree to allow cookies to be placed. Read more in our privacy policy.
Get the news faster.
Tap to install our app.