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Takeaways:
- New single-family home sales in June hit a seasonally adjusted annual rate of 482,000.
- This figure represents a 6.8 percent decline compared to May’s rate of 517,000.
- There were 215,000 homes for sale entering July, with inventory rising to 5.4 months of supply — the highest level this year.
New single-family home sales in June hit a seasonally adjusted annual rate of 482,000.
According to estimates from U.S. Census Bureau and the Department of Housing and Urban Development, this figure represents a 6.8 percent decline compared to May’s rate of 517,000. June’s rate, however, is 18.1 percent above estimates from 12 months ago.
Regionally, the West and South — markets with continued job growth — will account for the most new sales in 2015.
The South’s new-home sales rate stood at 282,000 in June, representing a 4.1 percent decline from May. It is estimated the West will account for 112,000 sales, a 17 percent drop in estimate compared to last month.
The Northeast will account for 32,000 sales, while the Midwest is estimated to contribute 56,000 sales.
According to Selma Hepp, chief economist at Trulia, despite the month-to-month slowdown in sales rates, year-to-year increases are very encouraging. She points to a market that started at a relatively low base when compared to previous recessions.
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Through June of this year, new-home sales rose to 274,000 (not seasonally adjusted), which is a 21.2 percent increase from the same period in 2014.
The median sales price of new houses sold in June was $281,800.
Census figures estimate that nearly 38 percent of homes sold this year will cost between $200,000 and $299,999. Homes that cost between $150,000 and $300,000 are forecasted to represent roughly 51 percent of all new purchases.
“It’s encouraging to see more homes being sold in the lower price segments, indicating that builders may be increasingly accommodating first-time buyers,” Hepp said.
According to the Census Bureau, there were 215,000 homes for sale entering July, with inventory rising to 5.4 months of supply — the highest level this year.
