After its pandemic-related plunge in April, the rapid recovery of the Housing Market Index, a measure of builder confidence, seems justified by today’s Census Bureau report on new home sales. For the second month in a row, sales of newly constructed homes outdistanced expectations, rising by 16.6 percent to a seasonally adjusted annual rate of 676,000 units. However, the original April estimate of 623,000 units was revised down drastically to 580,000. This month’s surge did exceed last May’s 580,000 unit rate by 12.7 percent, but it seems that this data is more susceptible to revision in the current environment than in more normal times. Sales exceeded the upper limits of analysts predictions , which in the case of those polled by Econoday ranged from 600,000 to 670,000 units. The consensus

2020-06-23 16:54:28

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Courtesy of Mortgage News Daily

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