New Home Sales At Highest Level Since 2007

A new report from the Census Bureau states that in July, newly built single-family homes were sold at the annual rate of 654,000, the highest rate since October 2007.

The New York Times reports that home builders and Millennials are the reasons for the upswing. The median sales price for new homes actually fell $16,000 in June, which indicates that builders are constructing smaller homes for younger adults who have now entered their prime home-buying time.

The new supply of housing, along with low mortgage rates and strong job creation, could serve to reverse the declining homeownership rate, which sits at 62.9 percent.