Wednesday, December 27, 2006

November New Home Sales: 1.047 Million SAAR

by Calculated Risk on 12/27/2006 10:24:00 AM

According to the Census Bureau report, New Home Sales in November were at a seasonally adjusted annual rate of 1.047 million. Sales for October were revised up to 1.013 million, from 1.004 million. Numbers for August and September were also revised up slightly too.

Click on Graph for larger image.
Sales of new one-family houses in November 2006 were at a seasonally adjusted annual rate of 1,047,000, according to estimates released jointly today by the U.S. Census Bureau and the Department of Housing and Urban Development. This is 3.4 percent above the revised October rate of 1,013,000, but is 15.3 percent below the November 2005 estimate of 1,236,000.

The Not Seasonally Adjusted monthly rate was 72,000 New Homes sold. There were 86,000 New Homes sold in November 2005.

On a year over year NSA basis, November 2006 sales were 16.3% lower than November 2005. Also, November '06 sales were below November 2004 (84,000) and November 2003 (76,000) sales.

This is the lowest November since 2001 when 67,000 new homes were sold.

The median and average sales prices were mixed. Caution should be used when analyzing monthly price changes since prices are heavily revised.

The median sales price of new houses sold in November 2006 was $251,700; the average sales price was $294,900.

The seasonally adjusted estimate of new houses for sale at the end of November was 545,000.

The 545,000 units of inventory is slightly below the levels of the last six months. Inventory numbers from the Census Bureau do not include cancellations - and cancellations are at record levels. Actual New Home inventories are much higher - some estimate about 20% higher.
This represents a supply of 6.3 months at the current sales rate.

On a months of supply basis, inventory is above the level of recent years.

More later today on New Home Sales.