Sales of new homes declined 12.2% in November to a seasonally adjusted annual rate of 590,000, according to the U.S. Census Bureau.
Compared with November 2022, however, new home sales were up 1.4%.
“New home sales activity should improve in the months ahead as mortgage interest rates settle in below a 7% rate,” stated Alicia Huey, chairman of the National Association of Home Builders. “Our latest builder survey turned positive in December, with builders indicating they expect a rise in future sales.”
Regionally, compared with October, new home sales rose 3.1% in the Northeast and 25.0% in the Midwest. New home sales declined 20.9% and 5.1% in the South and West, respectively.
The median sales price of new houses sold was $434,700, with an average sales price of $488,900. Inventory stood at 451,000 at the end of November, representing a supply of 9.2 months at the current sales rate.
