The median sales price of new houses sold in August 2008 was $221,900; the average sales price was $263,900. The seasonally adjusted estimate of new houses for sale at the end of August was 408,000. This represents a supply of 10.9 months at the current sales rate.

New home sales took a big hit in the Northeast and West, down 31.9 percent and 36.1 percent respectively from July 2008. According to the report, 32,000 new homes were sold in the Northeast and 78,000 were sold in the West. Sales were down in the South by 2.1 percent at 276,000 new homes, but an increase in new home sales was seen in the Midwest, with 74,000 new homes sold, accounting for a respectable 7.2 percent gain in August.

?EUR??,,????'??The major downshift in new-home sales in August reflected a weakening economy and job market as well as tight mortgage credit market conditions,?EUR??,,????'?? said NAHB Chief Economist Dave Seiders.