New home sales see biggest monthly gain since 1980

by Ryan Smith04 Dec 2013
Sales of new single-family homes saw the biggest month-over-month increase since May of 1980, according to data released today by the Census Bureau and the Department of Housing and Urban Development.

New single-family home sales were at a seasonally adjusted annual rate of 444,000 in October, according to a report by the Census Bureau and HUD. That’s 25.4% above the revised September rate of 354,000 and 21.6% above October 2012’s rate of 365,000.

The October rate is also considerably higher than the 425,000 projected by economists, according to a USA Today report. However, new home construction is still less than half what it was at its pre-recession peak.

The seasonally adjusted estimate of new houses for sale in October was 183,000, according to the Census Bureau. At the current sales rate, that equates to a supply of 4.9 months. The median sales price of new houses in October was $245,800. The average sales price was $321,000.
 

COMMENTS

  • by Michael H | 12/4/2013 9:37:01 AM

    I am not a believer. Call it whatever you want but numbers are routinely cooked and touchered to produce an outcome. Unless extended thousands of unemployment benefits expire shortly... if that happens the unemployment rate FALLS, as they are no longer in the workforce. At least this number isn't coming just before an election but may lend strength to a tightening of the Fed's QE

  • by Ted Harris | 12/4/2013 10:32:13 AM

    Whether it is true or not, I think that positive information helps to boost the economy. If we are being fed negative information all the time then we tend to look on the down side of things. I love to see positive information come out and believe that it can't but help the economy, even if it is just in attitude

  • by Michael S | 12/4/2013 11:42:14 AM

    Home sales remain brisk in Michigan, in the I-96 corridor between Lansing and Detroit. Good, well priced, showable homes are snatched up at full price or slightly above. I just had a home at $299,900.00 that had 18 showings and two offers in the first two days it was on the market. Final sales price $309,900.00!! Inventory is WAY down.

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