New Home Sales Show 28% Y/Y Increase in August, While Prices Hit 5-Year High
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New home sales made a remarkable rise in August, according to new data from the U.S. Census Bureau and the Department of Housing and Urban Development (USCBDHUD).
Sales rose to a seasonally adjusted annual rate (SAAR) of 373,000, which was down 0.3 percent from a revised SAAR of 374,000 in July and up 27.7 percent (+/- 18.8 percent) from August 2011.
The USCBDHUD said the median home sales price was $256,900 with an average sales price of $295,300. Those are the highest in about five years.
Adjust supply for the end of August was 4.5 months at the current rate.
Sales of 373,000 in August, along with the higher July number, were both near two-year highs, data showed.
The South was the only region in the U.S. to see a sales decline from July, dropping 4.9 percent to 174,000 for the month. Northeast sales were up 20 percent, Midwest up 1.8 percent, and Western sales up 0.9 percent. All regions showed improvement over last years sales numbers.
With unemployment stabilized at just over 8 percent and mortgage rates still at near-record lows, buyers that have been on the sidelines are now getting back into the market. Just yesterday, new Conference Board data showed consumers were much more confident than expected in September, rising 9 points from the prior mark.
Amid the new home sales jump, U.S. markets are lower on the session.
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Sales rose to a seasonally adjusted annual rate (SAAR) of 373,000, which was down 0.3 percent from a revised SAAR of 374,000 in July and up 27.7 percent (+/- 18.8 percent) from August 2011.
The USCBDHUD said the median home sales price was $256,900 with an average sales price of $295,300. Those are the highest in about five years.
Adjust supply for the end of August was 4.5 months at the current rate.
Sales of 373,000 in August, along with the higher July number, were both near two-year highs, data showed.
The South was the only region in the U.S. to see a sales decline from July, dropping 4.9 percent to 174,000 for the month. Northeast sales were up 20 percent, Midwest up 1.8 percent, and Western sales up 0.9 percent. All regions showed improvement over last years sales numbers.
With unemployment stabilized at just over 8 percent and mortgage rates still at near-record lows, buyers that have been on the sidelines are now getting back into the market. Just yesterday, new Conference Board data showed consumers were much more confident than expected in September, rising 9 points from the prior mark.
Amid the new home sales jump, U.S. markets are lower on the session.
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