New Home Sales Slump, Supply Expands for February
New home sales fell 4.6% in February to a seasonally adjusted annual rate of 411,000, according to a Department of Housing and Urban Development report (link opens a PDF) released today.
After a whopping 15.6% jump in January, market analysts had expected only a slight drop to 425,000.
In other news, median home prices moved up 3% to $246,800 while overall housing supply expanded 4.8% to 4.4 months at the current sales rate.
Economists have recently pointed to a lack of supply as one of the main setbacks to a full housing market recovery. A report last week from the National Association of Realtors confirmed that housing inventory for existing homes also increased in February.
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