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Coronavirus Hits DFW Home Sales, But Prices Holding Up

DFW home sales took another hit in April. Home sales slid 18 percent during the month of April as the coronavirus took a toll on the Dallas-Fort Worth real restate market. Pending home sales slid even further, falling 24 percent for April. Despite the noticeable seasonal increase in activity during the past few weeks, it appears the spring/summer selling rush we would typically expect is going to be muted by Covid-19 this year. With over 33 million Americans filing for unemployment during the past two months, a downturn in real estate activity should be expected. [...]

U.S. New Home Sales Fall 9.5% To 627,000 SAAR

The Census Bureau reported new home sales (contracts) for March at a seasonally adjusted annual rate (SAAR) of 627,000. That was 15.4 percent below the revised February rate and down 9.5% from the same time a year ago. As a reminder, the Census counts a new home sale at the time of contract signing, not the actual closing. In the context of the Covid-19 pandemic we actually have a more relevant, forward-looking indicator of new home sales activity, similar to the pending sales metric we would use in the MLS. The median new home sales [...]

January New Home Sales Highest Since 2007 At 764,000 SAAR

The Census Bureau reported new home sales for January at a seasonally adjusted annual rate (SAAR) of 764,000. This is the highest level for new home sales since the summer of 2007. The January print for new home sales is also an increase of 18.6 percent from the same time a year ago. The strong January numbers for new home sales should not be surprising. Declining mortgage rates and major stimulus from the Fed continue to stoke asset inflation in the housing market. I recently detailed how home prices in Denton Texas just hit a [...]

New Home Sales For December Post At 694,000 SAAR

The Census Bureau reported new home sales for December at a seasonally adjusted annual rate (SAAR) of 694,000. This was slightly lower than downwardly-revised November figures, but up 23 percent compared to December 2018 when the markets were sliding off a cliff. The median price of a new house sold in December 2019 was $331,400 while the average sales price was $384,500. Both figures represent slight price increases from last year and noticeable jumps from prices in November. The supply of new homes for sale stood at 5.7 months. Despite the downward revisions to previous [...]

Census: New Home Sales Up 16.9% In November

The Census Bureau reported new home sales for November at a seasonally adjusted annual rate (SAAR) of 719,000 units. That was 1.3 percent better than the previous month, and a 16.9 percent rise from last year. The median price of a new home contracted in November was $330,800, while the average price stood at $388,200. Both figures represent a large increase from the prices seen last year. The supply of new homes stood at 5.4 months in November, down 17 percent from the 6.5 months of inventory we had last year. These figures from Census [...]

October New Home Sales Rise On Easy Comparison

On the surface, the Census Bureau's 31.6% year-over-year increase in new home sales for October looks spectacular. To put it in context, however, new home sales are simply responding to the Federal Reserve's market interventions and that spectacular plunge in mortgage interest rates providing a very easy year-over-year comparison. On a monthly basis, new home sales dipped about one percent in October to a seasonally adjusted annual rate of 733,000 units. The longer term view shows new home sales still rising on a steady path out of the abyss. Along with the big drop in [...]

New Home Sales Still Riding Wave Of Lower Interest Rates

The Census Bureau reported new home sales for September at a seasonally adjusted annual rate (SAAR) of 701,000 in September. This was in line with expectations, although the August figure was revised down slightly. The September print for new home sales translates into a 15.5 percent increase from the same time last year. As a reminder, mortgage interest rates were over 100 basis points higher last year. This helped to drive new home contract activity in September. This made for a really easy year-over-year comparison. Another thing that contributed to September sales of new construction [...]

New Home Sales Soar In August, DFW Included

The Census Bureau reported new home sales for August at a seasonally adjusted annual rate (SAAR) of 713,000 for August, This was above expectations and sales for July were revised upward as well. The median price of a new home contracted in August was $328,400, while the average price of a new home shot up to $404,200. Lower rates obviously spurred more borrowers to open up their checkbooks in August. Months of supply for new homes stood at 5.5 in August, down almost 13 percent from the 6.3 months of supply seen last year. As [...]

Denton TX Home Prices Hit New Record, DFW Real Estate Closes Out Strong Summer

Denton Texas hit a new record in August, with average home prices pushing above $284,000 for the month. The average price of a single-family home in Denton TX pushed above $290,000 for the month, eclipsing the previous record set in June. The plunge in mortgage interest rates back to near record lows kept the summer sales momentum going for the local real estate market. Denton County saw home sales rise about 10 percent compared to August of last year, while pending sales look to post a slight gain as well. Flat pricing in Denton County [...]

Diminishing Returns? July New Home Sales Up 4.3%

The Census Bureau reported sales of new single-family homes at a seasonally adjusted annual rate of 635,000 in July. That's up 4.3 percent from July of last year, but down 12.8 percent below the sharply revised June numbers. The median price of a new home contracted in July was $312,800 while the average price of a new home contracted was $388,000, both lower than prices last year. The median new home price for July was $14,700 (about 4.5%) less than July of last year. The supply of new homes stood at 6.4 months in July, [...]