New home sales were flat in September after a big downward revision to August’s report.
New home sales rose 0.2% to an annualized pace of 467,000 in September, while August’s blowout number was revised down to a pace of 466,000 from a prior report of 504,000.
Expectations were for new home sales to fall 6.8% in September to an annualized selling rate of 470,000, down from August’s 18% increase to an annualized rate of 504,000.
According to the latest report from the Census, the median home sales price in September was $259,000 and the average was $313,200.
The report also showed that the current rate of sales represents 5.3 months supply at the current sales rate.
In a note to clients following the report, Ian Shepherdson at Pantheon Macro wrote, “I n one line: Revisions mean no clear breakout from the range yet.”
Shepherdson added, ” Given the size and frequency of large revisions to the data, we wonder why the numbers are published so early; they’d be much more reliable if they were released with a longer delay. Taking the revisions into account, we cannot now say with any conviction that sales have broken definitively above the 400-to-460K trend in place since late 2012, though the rebound in the NAHB survey over the summer suggests it is just a matter of time.”