Steel Markets

New Home Sales Tumble in March

Written by Sandy Williams


New home sales fell 11.4 percent in March for the biggest decline since July 2013. The seasonally adjusted annual rate was 481,000 below the forecast of 515,000. Analysts, however, say the drop is not as worrisome as it looks, coming off a strong revised February sales pace of 543,000 from a previously reported 539,000. Home sales have been erratic on a monthly basis but still exceed 2014 levels.

Home prices fell slightly in March with the median home price of $277,400 down 1.7 percent from a year ago. The average sales price was $343,300.

The seasonally adjusted estimate of new houses for sale at the end of March was 213,000—a supply of 5.3 months at the current sales rate.

Regionally, sales dropped 33 percent in the Northeast, 15.8 percent in the South, and 3.4 percent in the West. The Midwest saw sales rise by 5.9 percent from the previous month.

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