We already saw the existing-home sales market take a hit, and now we’re getting a better understanding of how new home construction is faring. Spoiler alert: not well.
According to the latest U.S. Census Bureau and U.S. Department of Housing and Urban Development’s report, sales of new single‐family houses in June 2022 were at a seasonally adjusted annual rate of 590,000, down 8.1 percent from the revised May rate of 642,000 units. Compared to June 2021, new home sales were down 17.4 percent.
With just 590,000 units sold last month, the new home market has slumped back to 2018 levels.
The median sales price of new houses sold in June 2022 was $402,400. The average sales price was $456,800.
The seasonally‐adjusted estimate of new houses for sale at the end of June was 457,000. This represents a supply of 9.3 months at the current sales rate.