New home sales essentially fell of a cliff in
November. The U.S. Census Bureau and the Department of Housing and Urban
Development said on Wednesday that sales of newly constructed single-family
homes, after slowing in September and October declined by 11.0 percent in
November. Sales, on a seasonally adjusted annual basis were at a
rate of 841,000 units compared to a revised estimate of 945,000 units in
October. That month’s sales were originally reported at 999,000 units. Even
with three straight monthly losses, year-over-year new home sales are up 20.8
percent. Sales had been expected to decline, but not nearly so aggressively.
Econoday’s analysts had expected a number between 965,000 and 1,015,000
units with a consensus of 989,000. Trading Economics was looking for
sales of 985,000, a 1.4 percent decline.