New home sales plunge in June

Turns out the earlier months weren't all that great, either

Maybe the new home sales market isn't doing so well after all. The government reports sales of new single-family houses plummeted 8.1% in June to a seasonally adjusted annual rate of 406,000.

That comes just a month after it was reported that sales in May had soared to an annual rate of 504,000 -- the best level in 6 years. But, as it reported the June numbers, the U.S. Census Bureau revised the May figure downward to show that only 442,000 homes were actually sold.

And, if that's not enough disappointing news, the April figure was revised from 425,000 to 408,000 and Marches number was put at 403,000 instead of the initially-reported 410,000

Prices and inventory

The median price of new homes sold in June was $273,500 down $9,100 from May but up $13,700 from June 2013. The median is the point at which half the prices are higher and half are lower. The average price last month was $331,400 up $11,300 from the previous month and up $25,300 year-over-year.

The estimate of new houses for sale at the end of June was 197,000, which represents a 5.8-months supply at the current sales rate.

The full June new home sales report is available on the Census Bureau website.

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