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New Home Sales vs Homes for Sale

The New Residential Construction report for June shows sales rose 0.6 percent. It it barely registers on a chart. New homes for sale is another matter.

New Home Sales

• Sales of new single-family houses in June 2025 were at a seasonally-adjusted annual rate of 627,000.
• This is 0.6 percent (±13.3 percent) above the May 2025 rate of 623,000, and is 6.6 percent (±16.2 percent) below the June 2024 rate of 671,000.
• Note the margin of error on the 0.6 percent rise.

For Sale Inventory and Months’ Supply

• The seasonally-adjusted estimate of new houses for sale at the end of June 2025 was 511,000.
• This is 1.2 percent (±1.6 percent) above the May 2025 estimate of 505,000, and is 8.5 percent (±5.4 percent) above the June 2024 estimate of 471,000.
• This represents a supply of 9.8 months at the current sales rate. The months’ supply is 1.0 percent (±16.0 percent) above the May 2025 estimate of 9.7 months, and is 16.7 percent (±20.3 percent) above the June 2024 estimate of 8.4 months.

Sales Price

• The median sales price of new houses sold in June 2025 was $401,800. This is 4.9 percent (±6.9 percent) below the May 2025 price of $422,700, and is 2.9 percent (±5.9 percent) below the June 2024 price of $414,000.
• The average sales price of new houses sold in June 2025 was $501,000. This is 2.0 percent (±8.9 percent) below the May 2025 price of $511,500, and is 1.1 percent (±9.4 percent) above the June 2024 price of $495,500.

New Home Sales Annualized vs Homes for Sale Detail

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New Home Sales vs Homes for Sale

The number of new homes for sale is the highest since 514,000 in October of 2007, just before the great recession.

New Homes for Sale Supply in Months

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New Home Sales vs Homes for Sale

The problem with this supply analysis is that it’s nonsense.

The Commerce Department counts vacant lots as a “new home for sale”. I consider that preposterous.

I will cover supply, in detail, in my next post. But here’s a teaser: Completed homes for sale is historically high and rising.

In case you missed it, please see Existing-Home Sales Decline 2.7 Percent, Median Price New Record High

Hooray, higher prices? That’s the message from the NAR.

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