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In a repeat slump, May new-home sales struggled, according to the Commerce Department.

New-Home Sales: 626,000

  • -7.8 percent month-over-month
  • +3.7 percent year-over-year

For-Sale Inventory: 333,000
Months’ Supply: 6.4
Median Price: $308,000

What the Industry’s Saying
“The May numbers are a bit surprising given lower mortgage interest rates and solid builder confidence data. Based on these conditions, we expect June new-home sales figures will show a rebound.” – Robert Dietz, Chief Economist, National Association of Home Builders

“The dip in May new-home sales comes as a surprise—particularly following the drop in April. It’s an indication that the market continues to adjust to an otherwise relatively healthy spring for new construction. It comes after a stretch of unexpectedly strong months to start the year, and that strength hasn’t entirely faded. The fact that sales in some of those early months were even higher than initially reported is an indication that many buyers stand ready to purchase what builders are putting up…Despite a step backward in single-family housing starts, builder confidence remains strong, and a recent uptick in single-family permits indicates better days are coming.” – Matthew Speakman, Economist, Zillow

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