New Home Sales Improve for Third Straight Month
Market continues to show stability as the spring market approaches.
New home sales increased for the third consecutive month in February, showing signs that the market may be stabilizing and possibly improving later in the year.
Sales of new single-family homes rose 1.1% to a seasonally adjusted rate of 640,000 in February from a downwardly revised January estimate of 633,000, the Census Bureau reported Friday. Compared to a year ago, new home sales remained 19% below February 2022 levels.
“As buyers approach spring buying season, price adjustments and stabilized mortgage rates have led many buyers to commit before a potential upswing in demand,” said Kelly Mangold, principal at RCLCO Real Estate Consulting. “Existing-home inventory (resales) has been very low in many markets, which has given new home sales less competition.”
