Builders See More Buyer Interest

Builders are seeing increased foot traffic at model homes and say potential buyers are drawn by low mortgage rates, affordable prices as well as a first-time homebuyer tax credit, according to the National Association of Home Builders. "With affordability up dramatically, reports from our builders in the field indicate that foot traffic in new homes is on the rise and consumer interest is increasing," said NAHB chairman Joe Robson. The trade group noted that 1.5 million visitors have logged on to its website to learn more about the $8,000 first-time homebuyer tax credit that Congress approved in February. A survey by Move Inc. found that "nearly 20% of those that plan to purchase a home this year are doing so to take advantage of the tax credit, which expires at the end of November," NAHB said. Move Inc., based in Westlake Village, Calif., provides home listing services for builders and Realtors. Buyer interest typically increases in the spring.