The U.S. housing market is stabilizing near 10-year highs, according to government data July 26 that showed sales of new homes were slightly less than forecast.
Highlights of June New Home Sales
• Single-family home sales increased 0.8% month over month to 610,000 annualized pace (estimated 615,000)
• Median sales price fell 3.4% year over year to $310,800.
• Supply of homes crept up to 5.4 months from 5.3 months; 272,000 new houses were on market at end of June.
Americans, taking advantage of low mortgage rates and confident in a strong job market that’s providing steady wage gains, are still on the hunt for new homes. Prices fell from a year earlier as more moderately priced homes sold in June.
There were signs of progress on housing inventories, which were the highest since June 2009. The industry says it is still grappling with a lack of skilled workers and a limited number of plots to begin construction.
• June demand reflected a 12.5% increase in the West and a 10% gain the Midwest.
• May reading was revised to a 605,000 pace from a previously estimated 615,000.
• Commerce Department said there was 90% confidence that the change in sales last month ranged from an 11.3% drop to a 12.9% gain, underscoring the volatility of the data.
• New-home sales are tabulated when contracts are signed.
• Data released jointly by the Census Bureau and Department of Housing and Urban Development in Washington.
With assistance by Chris Middleton