AgentIndustry News

New-home sales hit 13-year low

At February's sales pace, inventory would take 9.8 months to deplete

New single-family home sales dropped to the lowest rate in February since 1995, and sales were down about 29.8 percent from the February 2007 rate, the U.S. Census Bureau and U.S. Department of Housing and Urban Development reported today. The seasonally adjusted annual rate of new single-family home sales was 590,000 in February -- this rate is a projection of a monthly sales total over a 12-month period, adjusted to account for seasonal fluctuations in sales activity. It was the lowest rate since the February 1995 rate of 559,000, and the rate has fallen 59.8 percent from its record peak of 1.39 million in July 2005. The February rate is down about 1.8 percent from its January 2008 rate, though the Census Bureau notes that the sales rates can show irregular month-to-month movement and it can take up to five months to establish a trend. The supply of new, single-family for-sale homes was estimated at 9.8 months in February, which means it would take about 9.8 months t...