US new home sales dip in June, missing estimates
THE sales rate of new family homes in the United States dipped in June, missing analyst estimates amid still elevated interest rates, according to government data released on Wednesday (Jul 24).
New home sales in June came in at an annual, seasonally-adjusted, revised rate of 617,000, according to data released jointly by the US census and housing departments.
That was below the 621,000 rate in May, according to Wednesday’s revised figure, and under the 640,000 projected by analysts.
The figure refers to the number of homes sold over a whole year if sales continue at the rate seen in June.
The median price in June was US$417,3000, up 2.5 per cent from the prior reading.
The data comes on the heels of a report Tuesday that also showed a drop in sales of previously-owned homes that also missed analyst estimates.
A NEWSLETTER FOR YOU
Tuesday, 12 pm
Property Insights
Get an exclusive analysis of real estate and property news in Singapore and beyond.
Mortgage rates currently stand below their four-week and 52-week average, according to Freddie Mac.
However, rates remain well above their levels for most of the last decade following a series of large Federal Reserve interest rate hikes in 2022 and 2023 to counter inflation.
Analysts expect that a reduction in the Fed’s benchmark lending rate later this year will help mortgage rates decline further, boosting home sales.
SEE ALSO
The US central bank has in recent months held rates at the highest level in 23 years, to stamp out sticky inflation. AFP
Share with us your feedback on BT's products and services
