The US Commerce Department said Wednesday that sales of new homes in January dipped 0.2 per cent to 481,000 units.
The January 2015 pace of new home sales in the US, released by the Census Department Wednesday, was 5.3 per cent higher than the sales rate recorded in January 2014. Total inventory was 218,000, seasonally adjusted, marking a 5.4 months’ supply at the current sales rate.
According to Census/HUD estimates, inventory continues to rise gradually as the residential construction market recovers. Total new home inventory came in at 216,000 in January (non-seasonally adjusted). Of that total, 40,000 were homes that have not begun construction, 116,000 were currently under construction, and just 60,000 were completed, ready-to-occupy residences.
Regionally, the January report noted a significant decline in new home sales for the Northeast, falling from a 31,000 annual rate in December to 15,000 in January. This decline was certainly due to weather impacts.
Home Sales, US
The median new home price rose 9.1 per cent from a year ago to US$294,300, confirming an accelerating trend evident in recent house price data.
The Pending Home Sales Index, reported by the National Association of Realtors Friday, increased to 104.2 in January, up from an upwardly revised 102.5 in December. The Index increased year-over-year for the fifth consecutive month.
The January Index increased 3.2 per cent in the South, 2.2 per cent in the West and 0.1 per cent in the Northeast, but decreased 0.7 per cent in the Midwest.
Year-over-year, the Index increased in all four regions, ranging from 11.4 per cent in the West to 4.2 per cent in the Midwest.
Total existing-homes sales in 2015 are forecast to be around 5.26 million, an increase of 6.4 per cent from 2014.