Today, the U.S. Census Department released its monthly New Residential Home Sales Report for January showing a notable decline of 12.6% in sales nationally since December dropping very near the lowest level on record and falling 18.62% below the level seen in January 2010.
As I noted last month, the December sales level was pumped up by a California first-time homebuyer program that worked to dramatically pump up the West region's sales lifting the overall national figure.
Now with the program more or less complete, the West region has fallen back down the level seen prior to the program expiration.
As a result of the slower sales pace, the monthly supply increased in January to 7.9 months while the median selling price increased 5.68% and the average selling price declined 8.15%.
The following chart show the extent of sales decline to date (click for full-larger version).