New Home Sales Hit a 10-Year High
December 2017Sales of new U.S. single-family homes unexpectedly rose in October to a 10 year high. In October, sales were at a seasonally adjusted annual rate of 685,000. This is a 6.2% increase over September 2017 and an 18.7% increase over October 2016. The sale of new homes sales consists of eleven percent of overall home sales.
Mild weather helped to boost new home sales last month. Sales soared 30.2% in the Northeast to their highest level since October 2007. They rose 1.3% in the South also to a 10-year high. Sales jumped 17.9% in the Midwest and climbed 6.4% in the West.
Existing home sales also increased in October to their strongest pace since earlier this summer, a 2% increase over September. But supply shortages have continued to lead to fewer closings on an annual basis for the second straight month.
