New home sales in October rose a modest 0.4% to a seasonally adjusted annual rate of 745,000 after a furious September.
After rising double-digit in September 2021, sales of new single-family homes slowed significantly in October, increasing a modest 0.4% to a seasonally adjusted annual rate of 745,000, the US Census said on Wednesday. Office and the Department of Housing and Urban Development. .
However, this modest increase in sales allowed the number of new home sales to reach their highest level since April 2021.
Sales of new single-family homes were still down 23.1% year-over-year from October 2020 sales.
Meanwhile, the median selling price for new homes sold in October was $ 407,700, up from the revised median price of $ 404,700 in September. The average sale price in October was $ 477,800.
New homes for sale at the end of October represented a 6.3 month supply of homes at the current sale rate, with a seasonally adjusted annual estimate of 389,000 new homes for sale.
Although growth in new home sales was very subdued in October compared to September, RCLCO’s Kelly Mangold noted that amid typical seasonal downturns, October’s numbers are a positive sign of strong demand. in the housing market.
“Despite the drop in housing starts this month, permits and sales have remained strong, indicating that buyers are still looking for new homes, and the busier summer season could extend into the fall. and in winter this year than usual, ”Mangold said in a statement. statement sent by email to Inman.
“The lack of resale homes on the market has continued to drive demand for new homes, and builders are struggling to overcome supply chain issues to meet delivery dates,” she added. “RCLCO expects home sales to remain strong to close out the year, which will create an exceptionally busy sales market this holiday season.”
Email Lillian Dickerson