US sales of new single-family homes slipped to an annualized rate of 676,000 in September. The 0.6 per cent monthly decline was within the estimate’s margin of error, leaving the direction uncertain. Inventory stood at 476,000 homes and the median price was 400,400 dollars. The data count a contract or deposit rather than the buyer moving into a completed home.
Sales of new US single-family homes edged lower in September, according to estimates released by the Census Bureau and the Department of Housing and Urban Development on October 27. Reuters also reported the decline. The seasonally adjusted annual rate fell to 676,000 from a revised 680,000 in August, a monthly decrease of 0.6 per cent. The annualized rate expresses the monthly pace on a yearly scale rather than counting that many sales in September.[1], [2]
The seasonally adjusted inventory of new houses for sale was 476,000. At September’s sales pace, that represented 8.4 months of supply, compared with 8.5 months in August. The median sales price was 400,400 dollars and the average was 472,800 dollars. Changes in the mix of homes sold can affect these price comparisons. A sale is counted when a contract is signed or a deposit accepted, which can happen before construction is complete.[1]
The error interval for the monthly sales change includes zero at the 90 per cent confidence level. The small monthly decline was not statistically significant. The estimated 5.3 per cent annual decline was also within its error interval. The bureau says it generally takes four months to establish a trend change, and subsequent revisions can alter comparisons between months.[1]
