Strong New Construction Results in First Quarter of 2015

The building community was optimistic heading into 2015, and that optimism proved to be on target as sales results in the first quarter were very strong. In total, 327 new construction homes closed in the first quarter, which is up 16.8% over the first quarter of 2014. In addition, 531 new construction homes pended in quarter 1, an increase of 24.1% over last year! The average price per square foot in March was $169.

Inventory of available homes market wide was down considerably, but new construction was actually up nearly 2% when comparing March of 2015 to March of last year. That lower inventory market-wide, combined with nice weather and good inventory levels for new construction helped with the positive results.

Sales were spread throughout the metro, but Ankeny led the way in the first quarter by a wide margin with 90 closed sales. Waukee was next with 48 closings, followed by West Des Moines with 37, Grimes with 29, and Urbandale with 21.

The second quarter is off to a fantastic start with a very strong April wrapping up, and weather has been favorable for building. As inventory levels market wide remain low, the second quarter will have great sales activity as well. Builder’s that continue to have inventory should have a great year.