Update on New Homes in Flagstaff and Elsewhere

According to the U.S. Department of Commerce, new home construction rebounded in September on a national basis, but failed to make up for losses experienced in the month just before (August). Homebuilder confidence, as measured by the National Association of Homebuilder's Housing Market Index, fell slightly in October and marked the first decline in builder confidence since January of this year. That measure of confidence appears well-grounded in light of an unexpected report from the Commerce Department today, saying that new home sales fell 3.5% in September as compared to August – the first drop since March and a performance nearly 8% below what the Commerce Department had estimated earlier.

New home construction in Flagstaff remained in the doldrums during September. Only twelve single-family home permits have been issued in the City of Flagstaff during the first three quarters of 2009. An additional ten townhome permits were issued. This compares to 49 Flagstaff home permits and 19 Flagstaff townhome permits in the first three quarters of 2008.

Forty-three new single-family homes within the City of Flagstaff were listed for sale in the Flagstaff MLS system as of October 27, 2009. A total of 12 new homes have been reported sold within the city limits of Flagstaff so far this year. For new townhomes, those numbers are 23 for sale and 8 sold. Of course, there is “shadow inventory” – some of those listings are model homes that represent several lots owned by builders, each of which could have a home.

To buy or sell any Flagstaff home -- new or resale, contact Ann Heitland at RE/MAX Peak Properties!