April New Homes Sales Inch Up

WASHINGTON D.C. - Sales of single-family homes in April were at a seasonally adjusted annual rate of 1.316 million, according to a report released Wednesday by the Commerce Department. April's sales are 0.2 percent above the revised March rate of 1.313 million new homes sold and 13.3 percent above the revised April 2004 estimate of 1.162 million. ?EUR??,,????'??The drive for homeownership is as strong as or stronger than ever and builders don't see this demand diminishing anytime soon,?EUR??,,????'?? said David Wilson president of the National Association of Home Builders (NAHB. ?EUR??,,????'??We definitely don't expect to be taking summer vacations this year.?EUR??,,????'?? The strength in home sales last month was led by a 37.2 percent surge in the Northeast, which pushed the sales rate to 107,000 homes, the strongest pace since January 1997. Sales were also up 2.8 percent in the Midwest to an annual rate of 368,000 units. However, sales fell by 5.3 percent in the South to an annual rate of 630,000 units and were down 0.5 percent in the Midwest to an annual rate of 211,000 units. The median sales price of new houses sold in April 2005 was $230,800; the average sales price was $283,500. The seasonally adjusted estimate of new houses for sale at the end of April was 440,000, which represents a supply of 4.1 months at the current sales rate. ?EUR??,,????'??The inventory situation is very manageable. Many of the homes included are under construction and not yet completed and a significant portion haven't been started yet,?EUR??,,????'?? NAHB Chief Economist David Seiders said. ?EUR??,,????'??Builders are intentionally keeping their inventories lean in anticipation of increased mortgage rates later this year, and because a limited amount of land is available for building in many areas.?EUR??,,????'?? Total New Houses Sold During Period: 1,316,000 Percent change from last month: +0.2 Percent change from last year: +13.3 New Houses Sold During Period By Construction Stage-Survey: Total sold: 122,000 Homes sold but not started: 50,000 Homes sold and under construction: 43,000 Homes sold and completed: 29,000 Houses Sold by Sales Price: % Distribution-Survey Total: 122,000 100% Under $100,000 5,000 4% $100,000 - $124,999 6,000 5% $125,000 - $149,999 12,000 10% $150,000 - $199,999 26,000 22% $200,000 - $249,999 20,000 16% $250,000 - $299,999 11,000 9% $300,000 and over 42,000 34% (Percentages may not add up to 100 due to rounding)