New home sales up in July month-over-month
Sales of new single-family homes rose 2.8 percent in July from a seasonally adjusted annual rate of 870,000 units, according to the Commerce Department. New home sales still were 10.2 percent below last year’s numbers, however.
“Despite their normal volatility, these numbers are promising,” said Brian Catalde, president of the National Association of Home Builders (NAHB).
“Home builders have been trimming prices and offering non-price sales incentives to bring reluctant home buyers back into the market, and their efforts have brought results, at least for the short term,” added David Seiders, NAHB chief economist.
The inventory of new homes for sale edged down slightly to 533,000 in July, and the equivalent months’ supply at the July sales pace was 7.5 months, down from 7.7 months in June.
Regionally, new home sales in July were up by 22.4 percent in the West and 0.6 percent in the South, month-over-month. Sales were down by 24.3 percent in the Northeast and 0.9 percent in the Midwest.