After a steep plunge in January, new home sales rebound 2.1 percent.
The New Residential Construction Report for February 2025 report shows another set of rangebound sales numbers.
New Home Sales
- New Home Sales Sales of new single-family houses in February 2025 were at a seasonally adjusted annual rate of 676,000.
- This is 1.8 percent (±18.6 percent) above the revised January rate of 664,000 and is 5.1 percent (±13.9 percent) above the February 2024 estimate of 643,000.
Sales Price
- The median sales price of new houses sold in February 2025 was $414,500.
- The average sales price was $487,100.
For Sale Inventory and Months’ Supply
- The seasonally-adjusted estimate of new houses for sale at the end of February was 500,000.
- This represents a supply of 8.9 months at the current sales rate.
New Home Sales Detail
New homes for sale is very elevated. But it counts vacant land. I will do breakdowns on what’s really for sale in a following post.
New Home Sales vs Housing Starts
New Home Sales vs Existing Home Sales
The above chart shows a sideways market for both new and existing homes since the beginning of 2023.
Related Posts
March 20, 2025: Existing-Home Sales Rebound 4.2 Percent from -4.7 Percent in February
Meandering weakness continues. Sales have gone nowhere for two years.
February 19, 2025: Housing Starts Drop 9.8 Percent, Unable to Retain Any Traction
Housing starts have mostly been rangebound since late 2022 as high prices and high mortgage rates dampen demand.
March 17, 2025: The Wells Fargo Housing Market Index Declines Again in March, Dismal Traffic
Homebuilder confidence is lowest level in seven months.
Everything housing related is in a mostly stable slump, for now.
KB Homes was down 8% earlier, haven’t checked today, on lower -17% forecast.
https://www.wsj.com/business/earnings/kb-home-cuts-outlook-as-consumer-confidence-falls-96d67a42
The trump recession is pretty much here but will assuredly start next week unless he caves and post-pones the tariffs again.