by Calculated Risk on 6/24/2022 11:23:00 AM
Today, in the Calculated Risk Real Estate Newsletter: May New Home Sales Increase, Over 5 Months of Inventory Under Construction
The inventory of new homes under construction is at 5.0 months (blue line) – well above the normal level. This elevated level of homes under construction is due to supply chain constraints. This is close to the record set in 1980.
And a record 115 thousand homes have not been started – about 2.0 months of supply (grey line) – almost double the normal level. Homebuilders are probably waiting to start some homes until they have a firmer grasp on prices and demand.
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