As the U.S. economy continues to slowly recover, the housing market is hoping to be one industry to lead the way back to the top. However, with home inventories dropping, it's becoming a more ideal setting for those looking to sell property, rather than purchase it.
Regardless which side of the selling game individuals find themselves, using installment loan software will help to ensure that any type of created payment plan will not lead those trying to purchase property any closer to foreclosure.
Specifically, according to data from Realtor.com, the number of homes for sale in September dropped by 2.2 percent from August, 17.8 percent from last year and 34.3 percent from two years ago.
Just under 2 million homes were listed for sale in September, which is the third lowest level of the year. Traditionally, January and February are the slowest months of the year for home sales, according to The Wall Street Journal.
However, housing starts – when construction begins for a home – surged 15 percent in September to the highest level in four years. Recent Commerce Department readings showed that the amount of new homes being built leapt to an 872,000 annual rate, the fastest since July 2008.
Larry Sorsby, chief financial officer of Red Bank, New Jersey-based Hovnanian Enterprises Inc. (HOV), told the news source that it's no longer a question of whether or not the industry is rebounding.
"There is clear evidence that we have bounced off the bottom and are in the midst of a recovery," Sorsby said.
With building a house possibly a more viable option for some prospective homeowners, lenders should invest in personal loan software. That way, whether borrowers need a mortgage or just a loan to break ground on construction, the repayment plan can be accurately managed.