New single family home sales declined to a seasonally adjusted annual rate of 544,000 in October, an 8.9 percent fall from the September sales rate of 597,000, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.
The rate is 12.0 percent below the October 2017 sales rate of 618,000, and is the lowest sales rate since December 2016, according to the National Association of Home Builders.
“Home sales declined this month as housing affordability continues to be a hurdle for consumers,” NAHB Senior Economist Danushka Nanayakkara-Skillington said in a statement. “While a solid economy and positive demographics support future demand for housing, it is critical to address this mounting affordability crisis.”
The median price for new homes sold in October was $309,700, down from September’s median of $320,000. October’s average sales price rose to $395,000 from September’s $377,200 average.
The seasonally adjusted estimate of new homes on the market at the end of October was 336,000, a supply of 7.4 months at the current sales pace.
