New Home Sales in U.S. Declines 2.1% in May, Better Than Analyst Expected

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According to the U.S. Census Bureau and the Department of Housing and Urban Development, sales of new single-family houses in May 2011 were at a seasonally adjusted annual rate of 319,000.

This is 2.1 percent (±10.7%) below the revised April rate of 326,000, but is 13.5 percent (±13.6%) above the May 2010 estimate of 281,000.

These numbers are better than many Wall Street analyst predicted based on last month's steep decline in new home sales activities.

The median sales price of new houses sold in May 2011 was $222,600; the average sales price was $266,400. The seasonally adjusted estimate of new houses for sale at the end of May was 166,000. This represents a supply of 6.2 months at the current sales rate.

 

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