Don’t procrastinate about putting your house on the market if you really want to sell. There’s no time like the present.
This morning, the U.S. Census Bureau reported that new home sales in September dropped 5.5% to a seasonally adjusted annual rate of 553,000. Making up the headline reading were sales of 19,000 homes in the Northeast, 77,000 in the Midwest, 318,000 in the South and 139,000 in the West.
The reading greatly missed expectations of 625,000 and comes on the heels of a downward revised rate of 585,000 in August (from 629,000, previously reported). With the monthly decrease, on a year-over-year basis, sales are down 13.2% from September 2017's estimated rate of 637,000.
Importantly, of the 553,000 new homes sold during the period, 168,000 have yet to begin construction, while 188,000 remain under construction. Looking at the stage of construction is helpful for two reasons. It can indicate additional work to come for labor forces tied to the home building market, a factor that could mean more wage inflation on the horizon as skilled laborers are already in short supply. Secondly, it can point to the potential for additional sales to come for those companies that supply building materials for new homes.
All in all, this announcement points in the direction of lower home prices ahead, mostly for those in the Northeast.
If you are thinking of selling your home, it might be just the right time to get it on the market before prices retreat and interest rates rise further!
For the official release Click Here
For information about selling your home Click Here