The markets continue to show signs of recovery. According to the latest Commerce Department monthly report, single-family home sales rose 16.6 percent to a seasonally adjusted annual rate of 676,000 in May. The May rate is 12.7 percent higher YoY.
According to the report, home sales were up in all four regions: 6.8 percent in the Northeast, 9.5 percent in the Midwest, 0.3 percent in the South and 1.4 percent in the West.
Here’s the market breakdown:
New-Home Sales: 676,000
For-Sale Inventory: 318,000
Months’ Supply: 5.6 months
Median Price: $317,900
What the Industry’s Saying
“The May sales numbers are in line with rising builder sentiment,” said Chuck Fowke, chairman of the National Association of Home Builders (NAHB) and a custom home builder from Tampa, Fla. “With home building considered an essential business, this solid sales report is another indicator that housing is leading the economic recovery.”
“In a sign of growing demand fueled in part by record low mortgage rates, builder price incentives eased in May and home prices registered an upturn,” said NAHB Chief Economist Robert Dietz. “Sales are 1.9 percent higher on a year-to-date basis and our NAHB Home Building Geography Index points to construction gains in lower density markets like smaller metros and large metro exurbs in the months ahead.”