Wednesday, April 26, 2006
New Home Sales March
The rate of new single-family home sales in March was about 7.2 percent below the March 2005 estimate, while the supply of for-sale inventory was up about 31 percent, the U.S. Census Bureau and the Department of Housing and Urban Development announced today.Source (pdf).
The median sales price of new houses sold in March 2006 was $224,200, down 2.3 percent from the median sales price in March 2005; and the average sales price was $279,100, which is 3.8 percent below the March 2005 average.
There's really no surprise here. Year over year pricing is down slightly and sales are down year over year. The average sales prices are probably a bit overstated because incentives and credits at settlement aren't reported. The peak for median new home sales prices was October 2005, at $243,900. The median new home sales price for March was $224,200. This is the fifth month that median new home prices have declined. The median new home price in February was $239,900. That is a one month decline of 9%.
The mean new home sales price peaked in February 2006, at $300,400 (almost the same as September, 2005's mean new home sales price of $299,600). In March, the mean new home sales price was $279,100. That is a one month decline of 9%.
(edited) Overall months of supply (new home inventory/monthly sales) dropped from a month ago. I may well be wrong, but I would expect new home sales prices to inch up over the next couple of months as we head into prime sales time. That trend will not continue for long.
UPDATE: Let this be the fastest acknowledgement of a stupid statement on record: Puchase Money Apps fell below 400. I'm dumb, okay?