The number of home buyers applying for applications to buy new homes in March was up 11 percent from one year ago, according to new numbers from the Mortgage Bankers Association. From the month before, demand for new homes was up 26 percent. Joel Kan, MBA’s vice president and deputy chief economist, says the gains are due to a combination of seasonal patterns and growing inventory. “March kicks off the start of the spring home-buying season and does typically see an increase in purchase activity,” Kan said. “Last month, mortgage rates rose and economic uncertainty increased, and our estimate of new home sales reached its highest level in four months. This growth was supported by higher levels of unsold inventory in many markets across the country, some of which were move-in ready and were relatively more appealing to home buyers who were eager to purchase a home.” (source)
