New home sales down 1% in June, prices increase
Sales of new single-family homes fell 1% in June from a month earlier, coming in well below most analysts' estimates and reaching the lowest level in three months. The Commerce Department said the seasonally adjusted rate of 312,000 units last month was up from 315,000 for May, which was revised upward slightly. June new home sales were 1.6% higher than the 307,000 a year earlier. The seasonally adjusted estimate of new homes for sale at the end of last month was 164,000, representing a 6.3-month supply and at the lowest level in decades. A healthy housing market usually carries a six-month supply of single-family homes. Analysts surveyed by Econoday expected home sales of 321,000 for June with a range of estimates between 309,000 and 342,000. A Briefing.com survey projected home sales of 312,000 for the month. The median price of new homes sold in June rose 7.2% to $235,200 from a year earlier, according to the Commerce Department. Write to Jason Philyaw.