Global| Aug 24 2005New Home Sales Gain with Spurt in the West
Summary
New single-family home sales rose 6.5% in July to 1.41 million units, following a 2.0% gain in June. Data for April through June were revised downward modestly, but July's figure is still well into record territory. The July sales [...]
New single-family home sales rose 6.5% in July to 1.41 million units, following a 2.0% gain in June. Data for April through June were revised downward modestly, but July's figure is still well into record territory. The July sales volume is a substantial 27.7% higher than July 2004.
This latest increase was concentrated in the West, where sales jumped to 495,000 from 364,000 in June. Sales also rose in the Northeast, from 89,000 in June to 98,000; they were up nearly 72% from the July 2004 volume.
The median price of a new single family home declined for a third consecutive month, this time by 7.1%, to "just" $203,800. Prior months were revised slightly higher. The July drop occurred as accompanying data on price brackets showed that there were fewer sales of homes priced above $250,000 and more sales of homes under $150,000. This spread suggests a shift in demand toward the lower end of the market, rather than lower prices for similar homes.
The figures from the Census Department reflect home sales counted at the time of sales contract or deposit.
| Homes Sales (000s, AR) | July | June | Y/Y | 2004 | 2003 | 2002 |
|---|---|---|---|---|---|---|
| New Single-Family | 1,410 | 1,324 | 27.7% | 1,203 | 1,088 | 972 |
Carol Stone, CBE
AuthorMore in Author Profile »Carol Stone, CBE came to Haver Analytics in 2003 following more than 35 years as a financial market economist at major Wall Street financial institutions, most especially Merrill Lynch and Nomura Securities. She has broad experience in analysis and forecasting of flow-of-funds accounts, the federal budget and Federal Reserve operations. At Nomura Securites, among other duties, she developed various indicator forecasting tools and edited a daily global publication produced in London and New York for readers in Tokyo. At Haver Analytics, Carol is a member of the Research Department, aiding database managers with research and documentation efforts, as well as posting commentary on select economic reports. In addition, she conducts Ways-of-the-World, a blog on economic issues for an Episcopal-Church-affiliated website, The Geranium Farm. During her career, Carol served as an officer of the Money Marketeers and the Downtown Economists Club. She has a PhD from NYU's Stern School of Business. She lives in Brooklyn, New York, and has a weekend home on Long Island.
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