US New Home Sales Surged In April Despite Slump In Homebuilder Confidence

Despite the plunge in homebuilder confidence, US New Home Sales soared in April to 743k SAAR…

The 10.9% MoM surge in sales in April (versus a 4.0% MoM expected decline) was bolstered by a big downward revision in March from +7.4% MoM to just +2.6%…

This is the biggest beat since August 2022… and the second big downward revision in a row…

Meanwhile, the median new home sales price decreased 2% from a year ago to $407,200 (on an annual basis, prices have largely been retreating over the past 12 months) and is now back below existing home sale prices…

This month, 34% of builders reporting cutting prices, the largest share since December 2023, according to recent data from the National Association of Home Builders.

The surge in new home sales comes as mortgage rates tumbled…

So, don’t hold your breath for a recovery – rates are rising once again!