The Census Bureau reports New Home Sales in June were at a seasonally adjusted annual rate (SAAR) of 697 thousand.
The previous three months were revised down.
Sales of new single‐family houses in June 2023 were at a seasonally adjusted annual rate of 697,000, according to
estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development.
This is 2.5 percent below the revised May rate of 715,000, but is 23.8 percent above the June 2022 estimate of 563,000.
Click on graph for larger image.
The first graph shows New Home Sales vs. recessions since 1963. The dashed line is the current sales rate.
New home sales are at pre-pandemic levels.
The second graph shows New Home Months of Supply.
The all-time record high was 12.2 months of supply in January 2009. The all-time record low was 3.3 months in August 2020.
This is above the top of the normal range (about 4 to 6 months of supply is normal).
“The seasonally‐adjusted estimate of new houses for sale at the end of June was 432,000. This represents a supply of
7.4 months at the current sales rate.”
Sales were below expectations of 722 thousand SAAR, and sales for the three previous months were revised down. I’ll have more later today.