Steel Markets
New Home Sales Strongest in 12 Years
Written by Sandy Williams
November 26, 2019
New home sales in October dipped slightly from September, down 0.7 percent to a seasonally adjusted annual rate of 733,000, according to the U.S. Census Bureau and the U.S. Department of Housing and Urban Development. The dip, however, occurred after the September sales estimate was revised upward to 738,000 from 701,000. Sales for the past two months have been at the highest pace in more than 12 years.
Sales on a year-over-year basis jumped 31.6 percent from the estimate of 557,000 in October 2018.
The median sales price in October was $316,700 and the average sales price $383,300.
“Forty-five percent of homes sold in October were priced below $300,000, which is an indication that more millennial buyers are taking advantage of low mortgage rates and entering into the marketplace,” said National Association of Home Builders Chairman Greg Ugalde.
An estimated 322,000 new homes were for sale at the end of October representing a supply of 5.3 months at the current sales rate.
“For-sale inventory remains tight as this marks the third consecutive month below a six-month supply,” said Danushka Nanayakkara-Skillington, NAHB’s Assistant Vice President of Forecasting and Analysis. “The low inventory rates show there is a need for added construction to meet growing demand.”
On a month-over-month basis, sales fell 18.2 percent in the Northeast and 3.3 percent in the South. Sales increased 4.2 percent in the Midwest and 7.1 percent in the West.
Sandy Williams
Read more from Sandy WilliamsLatest in Steel Markets
US importers face stricter rules under revamped S232 tariffs
“CBP expects full compliance from the trade community for accurate reporting and payment of the additional duties. CBP will take enforcement action on non-compliance," the agency said in a March 7 bulletin.
Steel exports rebound in January
US steel exports recovered to a five-month high in January after having fallen to a two-year low in December. This growth follows four consecutive months of declining exports.
Construction spending drops marginally in January
Construction spending edged down slightly in January, slipping for the first time in four months. The US Census Bureau estimated spending at a seasonally adjusted annual rate of $2,196 billion in January, down 0.2% from December’s downward revised rate. The January figure is 3.3% higher than a year ago. January’s result, despite the slight erosion, […]
HVAC equipment shipments slow in December but strong annually
Shipments of heating and cooling equipment in the US fell to an 11-month low in December, according to the latest data released by the Air-Conditioning, Heating, and Refrigeration Institute (AHRI).
Apparent steel supply rebounds in December, but 2024 total at 4-year low
Apparent US steel supply rebounded in December, but 2024 was still the lowest level for supply since 2020.