The U.S. Department of Commerce recently revealed that the pace of new homes sold during the month of December was down to end the year.
Sales of new residential construction declined 2.2 percent to a seasonally adjusted annual rate of 307,000 units when compared to November's rate of 314,000. In addition, the report showed that the figure was down 7.3 percent year-over-year, as December 2010's figure was 331,000
"December's small decline in new-home sales follows three consecutive months of gains and means the fourth quarter was still stronger than the third," noted Bob Nielsen, chairman of the National Association of Home Builders.
Overall, the median home sales price in December was $210,300, according to the government report. The overall supply of homes for sale during the month was 157,000, which meant the inventory was 6.1 months.
Nielsen added that 2011 being the worst year for new home transactions may not be as bad as it sounds. This is because a large portion of local markets showed significant improvement to end the year despite disappointing national trends.