Sales of new homes rose a modest 1% in July after a string of declines as new home prices soar to record levels.
Sales last month reached a seasonally adjusted annual rate of 708,000, the Commerce Department reported Tuesday. Sales had fallen in April, May and June as builders confronted surging lumber prices and a shortage of workers.
Home prices continue their upward trajectory to new heights. The median price of a new home sold in July climbed to an unprecedented $390,500, up 18.4% from a year ago, while the average sales price in July hit a record $446,000, up 17.6% from a year ago.
Even with the small sales gain in July, new home sales are 27.2% below the pace of a year ago. Sales peaked at a rate of 993,000 units in January but have cooled since then, though remain at historically high levels.
The surge in prices may start to slow in coming months as builders work to ramp up construction. The number of new homes for sale at the end of July stood at 367,000, up 5.5% from the June inventory level and 26.1% higher than a year ago.
“While demand for homes remains strong, high prices and backlogs in construction will temper sales in the months ahead,” said Nancy Vanden Houten, lead U.S. economist at Oxford Economics.
The National Association of Realtors reported Monday that sales of existing homes rose 2% in July compared to June to a seasonally adjusted annual rate of 5.99 million units while the price of an existing home sold in July climbed 17.8% from a year ago to $359,900, near the all-time high set in June.
For July, new home sales fell in two regions of the country and rose in two regions. Sales dropped 24.1% in the Northeast and were down 20.2% in the Midwest. Sales showed a slight 1.3% increase in the South and rose a stronger 14.4% in the West.
As commercial options tighten, more travelers are turning to private aviation. Wheels Up CEO George Mattson breaks down capacity and demand challenges.
Layoffs, hiring slowdowns, and shifting skill demands dominate this year’s job talk. LinkedIn’s Kory Kantenga explains what workers should watch for next.
Retailers face tariffs and cost challenges this holiday season. Wells Fargo's Lauren Murphy shares insights on pricing, promotions, and shopping trends.
Dateability, founded by sisters Jacqueline and Alexa Child, is the only dating app for disabled and chronically ill communities, fostering love without limits.
Some small grocery stores and neighborhood convenience stores are eager for the U.S. government shutdown to end and for their customers to start receiving federal food aid again. Late last month, the Trump administration froze funding for the SNAP benefits that about 42 million Americans use to buy groceries. The U.S. Department of Agriculture says about 74% of the assistance was spent last year at superstores like Walmart and supermarkets like Kroger. Around 14% went to smaller stores that are more accessible to SNAP beneficiaries. A former director of the United Nations World Food Program says SNAP is not only a social safety net for families but a local economic engine that supports neighborhood businesses.
Andy Baehr, Head of Product at CoinDesk Indices, breaks down crypto’s Black Friday crash, Bitcoin dipping under $100K, and what’s driving the market rout.
