New home sales increased 4.3% m/m to a seasonally adjusted annual rate of 923,000 in January (Briefing.com consensus 855,000) from an upwardly revised 885,000 (from 842,000) in December.
On a yr/yr basis, new home sales were up 19.3%.
The median sales price increased 5.3% yr/yr to $346,400 while the average sales price jumped 6.5% to $408,800.
New home sales month-over-month/year-over-year by region: Northeast (-13.9%/-8.8%); Midwest (+12.6%/+10.3%); South (+3.0%/+40.4%); and West (+6.8%/-6.3%).
At the current sales pace, the supply of new homes for sale stood at 4.0 months, versus 4.1 months in December and 5.0 months in January 2020. A six-month supply is typically associated with a more balanced market.
The percentage of new homes sold for $399,999 or less accounted for 66% of new homes sold versus 65% in December and 67% one year ago.The key takeaway from the report is that new home sales, which are counted when contracts are signed, ramped up again as demand remained strong in the face of higher prices. Separately, the South remains a hot spot for relocation, evidenced by a 40.4% yr/yr increase in new home sales.
|Median Price Y/Y||5.3%||7.2%||6.6%||7.6%||9.1%|