After falling 6.8% month over month in June, sales of new single-family homes in July were at a seasonally adjusted annual rate of 507,000, an increase of 5.4% above the revised June rate of 481,000 and 25.8% above the July 2014 rate of 403,000, according to estimates released jointly by the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.
The median sales price of new homes sold in July was $285,900; the average sales price was $361,600.
As of the end of July, there were about 218,000 new single-family homes for sale nationwide – about a 5.2-month supply at the current sales rate.
‘Our builders are reporting higher traffic and more serious buyers and are adding inventory in anticipation of future business,’ says Tom Woods, chairman of the National Association of Home Builders (NAHB), in a statement.
‘Today's report is in line with other government data and improving builder sentiment and shows a gradual but consistent housing recovery,’ adds David Crowe, chief economist for NAHB. ‘As job growth and consumer confidence continue to strengthen, the housing market should make additional gains this year.’
Regionally, the Northeast, West and South posted respective gains of 23.1%, 6.7% and 5.8%, while the Midwest registered a 6.9% decline.