New single-family home sales surged in August, as housing demand was supported by low interest rates, a renewed consumer focus on the importance of housing, and rising demand in lower-density markets like suburbs and exurbs.
Census and HUD estimated new home sales in August at a 1.01 million seasonally adjusted annual pace, an approximate 4.8% gain over revised July rate of 965,000 and is 43.2% above the August 2019 estimate of 706,000. This is the strongest seasonally adjusted annual rate since September 2006.
The gains for new home sales are consistent with the NAHB/Wells Fargo HMI, which soared to an all-time high of 83 in September, demonstrating that housing is the leading sector for the economy. Consider that despite high unemployment, new home sales are estimated to be 14.9% higher for the first eight months of 2020 compared to the first eight months of 2019. Read full article on Eyeonhousing.org.
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