Steel Markets
New Home Sales Up 6.1 Percent in February
Written by Sandy Williams
March 23, 2017
The U.S. Census Bureau and the U.S. Department of Housing and Urban Development reports sale of new single-family homes jumped in February to a seasonally adjusted annual rate of 592,000, a 6.1 percent increase from January and 12.8 percent year-over-year.
The median sales price of new houses sold in February 2017 was $296,200 and the average sales price was $390,400.
An estimated 266,000 new houses were for sale at the end of February, representing a supply of 5.4 months at the current sales rate.
“February’s increase in new home sales is consistent with builders’ growing confidence in the housing market,” said Granger MacDonald, chairman of the National Association of Home Builders (NAHB). “Builders are encouraged by heightened consumer activity and by the expectation that regulatory costs will decline in the year ahead.”
“The uptick in mortgage interest rates is having a minimal effect on new home sales thus far,” said NAHB Chief Economist Robert Dietz. “Ongoing job creation, rising household formations and affordable home prices should keep the market on an upward trajectory in 2017.”
Regionally, new home sales increased 30.9 percent in the Midwest, 7.5 percent in the West and 3.6 percent in the South, while falling 21.4 percent in the Northeast.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
Leading nonres indicator falls to more than three-year low
An important economic indicator for the nonresidential construction industry declined in March to its lowest point in more than three years.
Active rig counts slip in US and Canada
The number of active rigs in the US is now at the lowest level seen in over two years, while Canadian rigs have fallen to a four-month low.
GrafTech continues to bleed red on weak demand
GrafTech is reporting weak near-term demand for graphite electrodes as economic uncertainty constrains steel production globally.
Worldsteel projects steel demand to grow 1.7% this year
Global steel demand will reach roughly 1.793 million metric tons (1.976 million short tons) this year, an increase of 1.7% over 2023, the World Steel Association (worldsteel) said in its updated Short Range Outlook report. The gain will come after a 0.5% contraction in steel demand in 2023. Demand is forecasted to increase another 1.2% […]
February construction spending steady, shows solid y/y improvement
US construction spending in February was mostly steady from January but showed significant gains from last year.