U.S. August New Home Sales - Down but resilient after strong July
August new home sales are down by 4.7% to 716k but have held up better than expected after July’s unexpectedly strong outcome, which was revised even higher to 751k from 739k, making July’s reading the highest since February 2022.
Housing survey evidence was generally quite subdued in August but has started to pick up in September as Fed easing starts, and that should provide further support going forward.
August data from housing starts and permits did however show some improvement, backing the new home sales message.
Sales increased in all four regions in July while in August the South extended its gains but the other three regions fully reversed their July increases.
Prices slipped on the month, the median by 2.0% and the average by 3.0%. Yr/yr data looks weak, the median at -4.6% from -1.6% in July, and the average at -7.1% from a 0.1% July increase.
