Global| Feb 26 2018U.S. New Home Sales & Prices Decline
by:Tom Moeller
|in:Economy in Brief
Summary
Sales of new single-family homes fell 7.8% (-1.0% y/y) to 593,000 (SAAR) during January following December's decline to 643,000, revised from 625,000. It was the lowest level of sales since August. Expectations had been for 641,000 [...]
Sales of new single-family homes fell 7.8% (-1.0% y/y) to 593,000 (SAAR) during January following December's decline to 643,000, revised from 625,000. It was the lowest level of sales since August. Expectations had been for 641,000 sales in the Action Economics Forecast Survey.
The median price of a new home declined 4.1% (+2.5% y/y) to $323,000 from $336,700, revised from $335,400. The average price of a new home fell 3.0% (+7.0% y/y) to $382,700.
Changes in new home sales were mixed last month across the country. In the Northeast, sales fell by one-third (-44.2% y/y) to 24,000, the lowest level since September 2015. Sales in the South also weakened 14.2% (-10.9% y/y) to 301,000, the lowest level since February 2016. To the upside, sales in the Midwest rose 15.4% (2.7% y/y) to 75,000, the highest level since March. Sales in the West remained strong, rising 1.0% (33.1% y/y) to 193,000.
The months' supply of homes on the market rose to 6.1, the highest level since July 2014. The median number of months a new home was on the market remained low at 3.3 and has trended sideways since 2013.
The data in this report are available in Haver's USECON database. The consensus expectation figure from Action Economics is available in the AS1REPNA database.
| U.S. New Single-Family Home Sales (SAAR, 000s) | Jan | Dec | Nov | Jan Y/Y % | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|
| Total | 593 | 643 | 696 | -1.0 | 615 | 561 | 503 |
| Northeast | 24 | 36 | 41 | -44.2 | 40 | 32 | 25 |
| Midwest | 75 | 65 | 72 | 2.7 | 72 | 69 | 61 |
| South | 301 | 351 | 376 | -10.9 | 341 | 317 | 286 |
| West | 193 | 191 | 207 | 33.1 | 163 | 142 | 130 |
| Median Price (NSA, $) | 323,000 | 336,700 | 343,000 | 2.5 | 321,050 | 306,500 | 293,733 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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