by Risk calculated on 23/05/2023 10:57:00
Today, in the Calculated Risk Real Estate Newsletter: New home sales at 683,000 annual rate in April
Brief excerpt:
The following chart shows new home sales for 2022 and 2023 by month (seasonally adjusted annual rate). Sales in April 2023 increased by 11.8% compared to April 2022.
As expected, new home sales increased year over year.
…
As noted earlier, the Census Bureau overstates sales and understates inventory when cancellation rates increase, see: New Home Sales and Cancellations: Net Sales and Gross Sales. This has reversed since cancellation rates started to drop. When a previously voided house is resold, the builder of the house considers it a sale, but the Census Bureau does not (since it has already been counted).There are still a large number of homes under construction, suggesting that we may see a further increase in completed inventory over the next few months, but overall this is a positive report for new home sales. .
You can register on https://calculatedrisk.substack.com/.