Steel Markets
2019 Best Year for New Home Sales Since Recession
Written by Sandy Williams
January 28, 2020
New home sales were essentially flat in December, edging down 0.4 percent from November to a seasonally adjusted annual rate of 694,000, according the latest data by the U.S. Census Bureau and the Department of Housing and Urban Development. Compared to December 2018, sales increased 23.0 percent.
Sales for the full year, however, rose 10 percent to an estimated 681,000 units, making it the best year for new home sales since the Great Recession, said National Association of Home Builders Chief Economist Robert Dietz.
“The acceleration of new home sales during the second half of 2019 returns the new home sales pace to the general trend line it has been on since the end of the Great Recession,” said Dietz. “This general rising trend for new home sales, after the housing affordability crunch of 2018, suggests additional construction gains in 2020. Sales are being supported by ongoing low interest rates and historically low unemployment.”
The median price of a new home sold in December was $331,400 and the average price $384,000. Inventory at the end of December was estimated at 327,000, a supply of 5.7 months at the current sales rate.
For full-year 2019, new home sales were up 14 percent in the South and 15 percent in the West (led by the Mountain states). Sales fell 7 percent in the Midwest and 9 percent in the Northeast.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
Trading firms Mercuria and Tata International partner in joint venture
Geneva-based global commodities trader Mercuria is set to acquire a majority stake in Tata International, according to a report in India's Economic Times.
Glenfarne Alaska LNG and POSCO ink preliminary partnership
Glenfarne Alaska LNG and POSCO signed a preliminary strategic agreement during the GasTech Conference in Milan on Thursday.
Steel export volumes remain weak through July
Following a 3% decline in June, the amount of steel shipped outside of the US edged up 1% in July to 623,000 short tons. July was the sixth-lowest monthly export rate since the COVID-19 pandemic, and...
Hot-rolled market participants say ‘doldrums’ to roll on through year-end
Participants in the hot-rolled steel sheet market expect the market to remain subdued through the end of the year.
Market says cutting interest rates will spur stalled domestic plate demand
Market sources say demand for domestic plate refuses to budge despite stagnating prices.