New Home Sales Reach 10-Year High

National Association of Home Builders
November 27, 2017
Markets

Sales of newly built, single-family homes in October rose 6.2 percent to a seasonally adjusted annual rate of 685,000 units from a downwardly revised September reading, according to newly released data by the U.S. Department of Housing and Urban Development and the U.S. Census Bureau. This is the highest sales pace since October 2007. Year-to-date, new home sales are 8.9 percent higher than the same period last year.

“There is solid growth in the number of sales contracts signed before construction has begun, a strong indicator that new single-family home production should continue to grow as we look ahead to 2018,” says National Association of Home Builders Chief Economist Robert Dietz.

The inventory of new homes for sale was 282,000 in October, which is a 4.9-month supply at the current sales pace. New home sales increased in all four regions. Sales rose 30.2 percent in the Northeast, 17.9 percent in the Midwest, 6.4 percent in the West and 1.3 percent in the South.