Home starts fell almost 30 percent in the Metroplex area during the third quarter, while sales of new houses were down 20 percent from the same period last year, according to new statistics from housing analyst Metrostudy Inc.

Builders started 8,855 houses in the third quarter, compared with more than 12,000 during the same period last year.

Sales fell to 10,000 units, down from 12,520 new home purchases the previous year. Houses priced under $200,000 accounted for most of the drop in sales.

Builders have trimmed the inventory of homes available for purchase by almost 4,500 units so far this year. According to David Brown, director of Metrostudy’s Dallas office, 24,500 new homes are still in inventory, both completed and under construction.

Last week, Dr. Mark Dotzour, chief economist with the Real Estate Center at Texas A&M University, called for a drop in home building.

Source: Dallas Morning News