José December 29, 2007 Real Estate , Economy Visits: 3 View Comments Print this post Send this post Copyright Jose Ramirez

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CNNMoney reported that in the U.S., the number of newly built properties sold in November was the lowest amount in twelve years. In an article entitled New home sales hit 12-year low indicates that

New home sales tumbled 9 Percent in November to a seasonally adjusted annual rate of 647.000, According To a Census Bureau report Friday.

That was the worst Showing Since April 1995, When Was the pace of sales 621.000, and is much Worse Than the 715.000 sales pace forecast by Economists Surveyed by Briefing.com.

Graphically, at Calculated Risk , is thus

What does it mean? First, the inventory of unsold homes continues to grow and is now for 505mil units, excluding cancellations could be 100 thousand more. In addition, there is a supply of properties for 9.3 months or, if you include cancellations, for 11.3 months, according to the same Calculated Risk. This means that in the U.S. at this time, have enough unsold new properties and to meet demand for almost a year without having to build one more.

"Recession? In Calculated Risk that other graphics attached, which outlines the recessions blue stripes gotten in the last 35 years and compares them with the red line represents the sale of new properties.

While the author does not conclude that the U.S. is in recession, definitely concluded that no more reason to worry.