U.S. new home sales fall for second straight month

[mahatmakanejeeves]

Source: Reuters, via Yahoo! Finance

Reuters

U.S. new home sales fall for second straight month

Wed, March 23, 2022, 10:10 AM · 1 min read

WASHINGTON, March 23 (Reuters) - Sales of new U.S. single-family homes unexpectedly fell in February amid rising mortgage rates and higher house prices, which are reducing affordability for some first-time buyers.

New home sales decreased 2% to a seasonally adjusted annual rate of 772,000 units last month, declining for a second straight month, the Commerce Department said on Wednesday.

January's sales pace was revised down to 788,000 units from the previously reported 801,000 units. Economists polled by Reuters had forecast new home sales, which account for more than 10% of U.S. home sales, would rebound to a rate of 810,000 units.

(Reporting by Lucia Mutikani Editing by Paul Simao)

Read more: https://finance.yahoo.com/news/u-home-sales-fall-second-141040765.html

[CrispyQ]

1. Average home price in my area for a single family home is $700K.

And that's a tract home, 3-4 bedrooms, probably 1,800 - 2,000 square feet. I can no longer afford to buy a house in the neighborhood I live. It's crazy.

[tenderfoot]

2. Kind of hard to buy a house when private equity firms bought them all up already

eom

[NullTuples]

4. They have the investor backing to bid against each other...

[inthewind21]

3. At some point

All those people who were making 50K offers over asking and guaranteeing with cash are going to come to regret that decision. And it's the working class who got suckered. 1060 sq ft house, selling for $425 per sq ft all day long. Million(s) homes on large lots , selling for $212 per sq ft. I'm seeing houses that were purchased 90 days ago for 290K being re-listed for 450K. NOTHING appreciates that much that fast. I smell a crash coming.