New Home Sales Rise
New Home Sales Rebound To Highest Since 2008 As Median Home Price Rises Back Over $300,000
Following last month’s surprising drop in new home sales, which tumbled the most in 8 months alongside sharp downward revisions to the historical data, coupled with a plunge in the median price many expressed concern that the housing recovery was finally saturated, at least when it comes to new housing even as demand for existing homes remained robust. However, moments ago the latest data from the Census Bureau may have shelved such concerns, when it reported that in June new home sales surged 25.4% from a year ago and up 3.5% from the upward revised May print of 572K to 592K, above the 560K expected, and the highest number reported since 2008, even if still well below half of the peak hit before the recession struck.
That said, on an unadjusted basis, the actual number of homes sold in June was 54K, the same as last month, and below the 56K seen in April.
The regional breakdown showed steady activity across most regions, with the Northeast, Midwest and South all unchanged at 3K, 8K and 29K respectively, while the West saw a 1K rise to 14K new homes.
Since the number of homes for sale rose from 237K to 245K, the months supply increased from 4.4K to 4.5K.
Finally, the median new home sale price rose once again, jumping back above $300K, or from $288.8K to $306.7K to be specific, 14K shy of the all time highs record in April of this year.