New home sales were at a seasonally adjusted annual rate of 999,000 in October, down 0.3% compared with September but up 41.5% compared with October 2019, according to estimates from the U.S. Census Bureau and U.S. Department of Housing and Urban Development.
The median sales price for a new home sold in October was $330,600. The average sales price was $386,200.
As of the end of the month, there were about 278,000 new homes available for sale in the U.S. That’s about a 3.3-month supply at the current sales rate.
New home sales came in at 959,000 in September, a decrease of 3.5% compared with August but an increase of 32.1% compared with September 2019.
“Buyer traffic remained strong in October even as the country’s attention was focused on the elections and policy issues going into 2021,” says Chuck Fowke, chairman of the National Association of Home Builders (NAHB) and a custom home builder from Tampa, Fla., in a statement. “Mortgage rates remain low and builder confidence is at an all-time high, indicating that demand remains steady and sales will remain solid.”
“NAHB analysis showed that the gap between construction and sales was at an all-time high in early fall,” adds Robert Dietz, chief economist for NAHB. “Thus, the NAHB forecast contains an acceleration in single-family starts and some slowing of the pace of growth for new homes sale to allow a catch-up. Demand remains strong as home buyers seek-out lower density markets as part of the suburban shift.”