- New home sales in August increased 3.5% to a seasonally adjusted annual rate of 629,000 (Briefing.com consensus 630,000) versus a downwardly revised 608,000 (from 627,000) for July.
- New home sales in South declined 1.7% month-over-month to 350,000. That is noteworthy because the South is the largest market for new home sales.
- Sales in the Northeast surged 47.8% to 34,000, increased 2.7% in the Midwest to 77,000, and jumped 9.1% in the West to 168,000.
- Homes priced at $399,999 or less accounted for 67% of new homes sold versus 70% in July, reflecting perhaps supply constraints at the lower end of the new home market.
- The average sales price was up 5.2% year-over-year to $388,400
- The key takeaway from the report is that it reflects the affordability constraints that are increasing on the back of high prices and rising mortgage rates. To wit, the median sales price was up 1.9% year-over-year to $320,200 and the supply of new homes for sale stood at a 6.1-months' supply at the August sales pace versus 6.0 months a year ago.
|Median Price Y/Y||1.9%||1.6%||-1.8%||-2.1%||1.1%|