- Prior reading was 372K (revised to 374K)
- Median sale price at highest since March 2007
- Supply at 4.5 months, same as prior
- The northeast driving all the gains (+20%)
As you can see from the chart, new home sales are still miles away from where they were at any point in the past 20 years+. So much supply was added to the market in the boom, it’s hard to imagine a good reason to buy a new house with so many houses 5-10 years old on the market via foreclosures.
For me, the metric to watch is existing home sales. They need to rise and clear out the inventory before any meaningful recovery in starts.
