I am going to be confusing right off the start…

New Home Sales, which measures signed contracts on new homes rose 8.8% in March. Big number but here is the confusing part.

There were 477,000 new homes for sale in March. That is an 8.3 month’s supply, slightly lower than previous month.

However, only 89,000 homes are completed. When we look at the pace of sales vs completed homes, the supply is only 1.53 months.

Bottom line, I want to be a builder.

Builders know this and are cutting incentives and home prices to attract buyers.