New-home sales decreased only slightly month-over-month, dropping just 0.3 percent below the revised September rate. But year-over-year, sales recorded 41.5 percent above the October 2019 estimate of 706,000, according to the latest Commerce Department monthly report. For October 2020, sales of new single-family houses were at a seasonally adjusted annual rate of 999,000.
Here’s the market breakdown:
New-Home Sales:Â 999,000
For-Sale Inventory:Â 278,000
Months’ Supply:Â 43.3 months
Median Price:Â $330,600
What the Industry’s Saying:
“Buyer traffic remained strong in October even as the country’s attention was focused on the elections and policy issues going into 2021. Mortgage rates remain low and builder confidence is at an all-time high indicating that demand remains steady and sales will remain solid.” — Chuck Fowke, Chairman, National Association of Home Builders
“NAHB analysis showed that the gap between construction and sales was at an all-time high in early fall. Thus, the NAHB forecast contains an acceleration in single-family starts and some slowing of the pace of growth for new homes sale to allow a catch-up. Demand remains strong as homebuyers seek out lower density markets as part of the suburban shift.” — Robert Dietz, Chief Economist, National Association of Home Builders
