Sales of new single-family houses in May 2017 were at a seasonally adjusted annual rate of 610,000, a 2.9% increase from the revised April rate of 593,000 and 8.9% ahead of the pace of May, 2016, according to estimates released jointly by the U.S. Census Bureau and the Department of Housing and Urban Development Friday.
The median sales price of new houses sold in May 2017 was $345,800, up sharply from $310,200 in April and $296,00 a year earlier. The average sales price was $406,400, up sequentially from $367,700 and $350,000 year-over-year.
The jump in median and average prices may be due in part to a shift in the regional mix. The gains were led by the West, where homes are generally more expensive, which saw sales rise 13.3% sequentially and 14.4% on an annual basis to an annual pace of 162,000. The South, by far the largest region, posted gains of 6.2% and 15%, respectively, to a pace of 360,000. The Northeast, the smallest region, posted a decline of 10.8% from April but remained flat with May a year earlier at an annual pace of 33,000. The Midwest, where homes are generally least expensive, saw declines of 25.7% and 23.6% respectively to a pace of 55,000.
The seasonally-adjusted estimate of new houses for sale at the end of May was 268,000. This represents a supply of 5.3 months at the current sales rate.
