Sales of new single family homes were at a seasonally adjusted annual rate of 667,000 in February, an increase of 4.9% compared with a revised rate of 636,000 in January and an increase of 0.6% compared with 663,000 in February 2018, according to estimates from the U.S. Census Bureau and the U.S. Department of Housing and Urban Development.
Regionally, new home sales increased 28.3% in Midwest, 26.9% in the Northeast, and 1.8% in the South, month-over-month. New home sales in the West were flat compared with the previous month.
The median sales price of new home sold in February was $315,300. The average sales price was $379,600.
As of the end of the month, there were about 340,000 new homes available for sale, about a 6.1-month supply at the current sales rate.
The release of the data was delayed due to the partial government shutdown.
“The recent decline in mortgage rates have helped boost sales activity as home buyers take advantage of these lower interest rates,” says Greg Ugalde, chairman of the National Association of Home Builders (NAHB), in a statement.
“The new home sales data continue to show potential to grow sales at affordable price points that would be attractive for the entry-level buyer,” adds Robert Dietz, chief economist for NAHB. “However, builders need to be mindful of housing costs as they try to meet this demand.”