Today, the U.S. Census Department released its monthly New Residential Home Sales Report for July that, despite all the traditional media’s “unexpected increase” coverage, continues to show weakness as well as significant downward revisions to April and May’s results.
As with prior months, on a year-over-year basis sales are still declining significantly at 10.2% below the sales activity seen in July 2006.
It’s important to keep in mind that these declines are coming on the back of the significant declines seen in 2006 further indicating that housing bust is significant.
The following charts show the extent of sales declines seen since 2006 as well as illustrating the further declines 2007 is showing on top of the 2006 results (click for larger versions)
Note that the last chart essentially combines the year-over-year changes seen in 2005 and 2006 and shows sales trending down precipitously as compared to the peak period.
Look at the following summary of today’s report:
National
- The median price for a new home was up .58% as compared to July 2006.
- New home sales were down 10.2% as compared to July 2006.
- The inventory of new homes for sale declined 7.0% as compared to July 2006.
- The number of months’ supply of the new homes has increased 1.4% as compared to July 2006.
- In the Northeast, new home sales were down 11.7% as compared to July 2006.
- In the West, new home sales were down 19.6% as compared to July 2006.
- In the South, new home sales were down 3.0% as compared to July 2006.
- In the Midwest, new home sales were down 18.2% as compared to July 2006.
