New construction of homes keeping housing market 'afloat': Redfin

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Redfin reported that newly built homes are on the rise, accounting for nearly a third of single-family homes. It comes at a time when there is a severe shortage of existing homes.

During the first quarter, new home inventory reached a near record high of 33.6%. The drop is a typical seasonal pattern, according to Redfin. is up slightly from this time last year and is nearly double what it was during the pandemic, which was about 17%, according to the data. "The one reliable source of inventory has been the builders.

Builders are really making good profits, they're putting homes on the market and they're buying down the interest rate for their buyers so they're able to bring people into the showroom and close the deal," Redfin CEO Glenn Kelman said during an interview Friday on "Cavuto: Coast to Coast.

 

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