New Home Sales Rise 8.3% Overall in 2017
Sales of newly built, single-family homes fell 9.3% in December to a seasonally adjusted annual rate of 625,000 units, according to newly released data from HUD and the Census Bureau. Despite this monthly decline, new home sales rose 8.3% overall in 2017 to 608,000 units.
“The number of consumers planning to buy a new home in the near future is trending upward,” said NAHB Chairman Randy Noel. “Inventory remains low, but its growth in 2017 is an encouraging sign. Our members are also telling us that market conditions continue to improve.”
“Some moderation in sales was expected this month after a strong November reading,” said NAHB senior economist Michael Neal. “With ongoing job creation and rising home equity, we should see housing demand continue to grow in the months ahead.”
The inventory of new home sales for sale was 295,000 in December, which is a 5.7-month supply at the current sales pace. The median sales price of new houses sold was $335,400.
Regionally, new home sales decreased 2.4% in the Northeast, 9.5% in the West, 9.8% in the South and 10% in the Midwest.
Tags: new home sales
I see the Midwest is down 10%. Is it Illinois that is bringing down the number or are there other factors that are accounting for the decline in the Midwest?
Thank you for your question. Unfortunately we don’t have data on new home sales at the state-level (only nationwide and each of the four regions). Also, the decline in the Midwest could as be as low as a 35.1% decrease or as high as a 15.1% increase. The Census/HUD attached large confidence intervals to their estimates.
thanks