New home sales were down slightly in September from the revised August rate. According to the Census Bureau and Department of Housing and Urban Development, new single-family home sales declined 0.7% in September, yet the seasonally adjusted annual rate of 701,000 is 15.5% higher than a year ago.
The modest setback still did not stop it from being the best September rate since 2006. The September rate would also qualify for the best showing since late 2017, if 2019 went unaccounted for. The alarm should not be sounded just yet as year-to-date home sales are up more than 7%, states a report from Wells Fargo Securities. "The data are highly volatile and subject to heavy revisions, but the trend in new home sales is one of strength," according to the release.
The median sales price for new homes was just shy of $300,000, while the average price was more than $362,000.
Regionally, home sales struggled month-to-month, but year-over-year sales are fairing well. While down a blip in September, the South is trending upward at a positive rate of 24%, and the Northeast is up nearly 30% since September 2018.
-Michael Miller, managing editor