New Home Sales Boom

For this morning’s new home sales report, economists had been expecting a drop of 0.9%. Instead, new home sales were up 18.9%. That’s the largest increase in 25 years.

Sales of newly built single-family homes rose 18.9 per cent from the previous month to an annualised pace of 667,000 homes, the US Census Bureau said. That compared with economists expectations for a 0.9 per cent drop to 555,000, according to a Thomson Reuters survey.

That was the biggest monthly increase since January 1992 and marks the highest level in 10 years. Compared with a year ago, new home sales were up 17 per cent.

The increase was boosted by an increase in home sales in the Northeast and Southern US, where they climbed 33.3 per cent and 25.8 per cent respectively. The latter was battered by a string of hurricanes. In the Midwest they climbed 10.6 per cent and in the West the rose a more subdued 2.9 per cent.

Posted by on October 25th, 2017 at 10:36 am


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