January U.S. New Home Sales Fall
New home sales dropped 10.5% in January as high mortgage rates, affordability issues and severe winter weather kept buyers on the sidelines.
WASHINGTON — New homes sales fell in January as mortgage rates remain high and affordability keeps buyers on the sidelines, according to data from the U.S. Commerce Department's Census Bureau.
Sales of single-family homes fell 10.5% in January from December to a seasonally adjusted annual pace of 657,000 units. The January sales were down 1.1% from a year earlier.
The median sales price of a newly built home in January was 2025 was $446,300. The average sales price was $510,000.
Economists said frigid temperatures in January across the country also played a role in the decline.
"The large fall in new home sales in January was to be expected given the disruption from the unseasonably severe winter weather," Bradley Saunders, the North America economist for Capital Economics, told Realtor.com.
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