According to new data, new home sales declined in February after seeing a slight uptick the previous few months. This suggests that the housing market may be starting to cool off after years of steady growth. While it’s too early to tell if this is a short-term blip or a sign of things to come, it’s worth keeping an eye on these latest developments.
Sales of newly built single-family homes in February fell 4.5% to an 801,000 seasonally adjusted annual rate from a sharp upwardly revised reading last month according the Department of Housing and Urban Development (HUD) along with Census Bureau!
“New home prices continue to rise as the cost of materials increases. Higher mortgage rates will slow home buying demand over the course of 2022 and the Russia-Ukraine crisis will add short-term volatility to the bond market”, said Robert Dietz, NAHB chief economist.
The housing market is getting hot! The median sales price for homes in January 2018 was $423,300 compared to $395,500 last December. This is an increase over 13%.