Washington (AP) — New home sales in the US rose 0.4% last month, lower than expected, as home prices continued to rise.
The Commerce Department reported on Wednesday that sales of new single-family homes rose from 742,000 in September to a seasonally adjusted annual rate of 745,000 last month. Economists expected new home sales in October to arrive at a pace of 795,000 a year. And September sales were revised significantly lower than the original commerce report of 800,000.
New home sales were down 23% year-on-year.
The median new homes rose nearly 18% year-on-year to a record high of $ 407,700 last month when half of homes were sold more and half sold less.
New home sales increased 11% in the Midwest from September to October and increased 0.2% in the South. It decreased by 11.8% in the northeast and 1.1% in the west.
The housing market is booming thanks to solid mortgage rates and stagnant consumer demand trapped by last year’s pandemic.
The National Association of Real Estate Agents reported on Monday that sales of previously occupied homes increased 0.8% last month, reaching a seasonally adjusted annual rate of 6.3 million, the strongest annual rate since January.
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US New Home Sales Increase 0.4% in October As Prices Rise | WGN Radio 720
Source link US New Home Sales Increase 0.4% in October As Prices Rise | WGN Radio 720