·
New single-family home sales rose a surprising 13.0% last month to a
record 1.424M, adding to upwardly revised levels in September and August.
The m/m advance was the strongest since 1993 and the October level
by far exceeded Consensus expectations for a decline to 1.20M.
· Home sales often strengthen as buyers attempt to beat further increases in interest rates.
· Sales were notably strong in the Northeast where a 43.3% (-16.5% y/y) rise recouped nearly all of the prior two months' declines while sales out West recovered all of the prior two months' weakness with a 46.9% (8.8% y/y) jump. Sales in the South rose a lesser 1.9% (27.5% y/y) but that followed gains during the prior two months. In the Midwest, sales reversed much the gain in September with a 9.5% decline that was the fourth decline in five months and left sales down 17.4% versus the May peak.
· The median price of a new single family home rose 1.6% m/m (0.9% y/y) after a 2.4% decline in September that was shallower than originally estimated.
· The figures from the Census Department reflect home sales counted at the time of sales contract or deposit.