John Burns Research & Consulting has released a new report that finds that new home prices are set to drop even more so than many previously expected. According to the data set, prices will fall some 15 percent from their peak in May 2022.
In May of 2023, the average active price per square foot on a new home was $213, compared to $233 a year earlier. Coming soon average price per square foot was $203 this past May, compared to $240 a year earlier.
A year earlier, in May 2021, the average coming soon price per square foot was $197. The average active price per square foot was $195.
The report also found that new communities will tend to be smaller (square footage has declined 1 percent so far) and have lower specification levels than one year ago.