According to data released on Wednesday by the Commerce Department, sales of new single-family houses in the U.S. experienced a significant increase in July, surpassing economists’ predictions. Let’s delve into the key details:
Steady Sales Growth
- In July, new home sales rose by 4.4% compared to the previous month, reaching a seasonally adjusted annual rate of 714,000 units.
- Economists surveyed by The Wall Street Journal had forecasted an adjusted rate of 704,000 units for July.
- The June sales rate was revised down to 684,000 units from the initially reported figure of 697,000 units.
Strong Year-on-Year Performance
- In comparison to the same period last year, sales were up by a noteworthy 31.5% after adjusting for seasonal fluctuations.
- Last year’s sales rate stood at 543,000 units.
Median Price Escalation
- The median price of a new home experienced a rise from $416,700 in June to $436,700 in July.
Increased Housing Supply
- By the end of July, the number of new houses available for sale reached 437,000 units.
- This represents an increase in supply, leading to a current sales rate of 7.3 months.
These figures suggest a healthy growth trajectory for the housing market, potentially providing opportunities for both buyers and sellers.