New Home Sales Bounce in May with Big Drop in Prices

The Census Bureau reported new home sales in May at a seasonally adjusted annual rate (SAAR) of 763,000 units. That was 12.2 percent better than the revised April estimate and 20 percent better than May of last year. So what drove the jump in new home sales? Lower prices! "The median sales price of new houses sold in May 2023 was $416,300. The average sales price was $487,300." That average new home price of $487,300 is the lowest in 2023 and over $28,000 lower than the March estimate. The May average price is $81,400 lower [...]