NEW YORK — Sales of new single-family homes fell 2.5% to a 512,000 seasonally adjusted annual rate in May, according to data released by the Commerce Department today.
The May figure came after a downwardly revised 525,000 rate in April, a 2.5% drop, originally reported as an 2.5% decrease to 526,000. IFR Markets’ poll of economists had predicted a 515,000 sales level for April.
Sales of new homes were 40.3% below the 857,000 rate in May 2007, Commerce said.
The supply of new homes at the current sales rate grew to 10.9 months from 10.9 months in April.
At the end of May, the number of new homes on the market decreased to 453,000 from 461,000.
The unadjusted average price of a new single-family home dipped to $311,300 from $321,200.
Meanwhile, the unadjusted median price dropped to $231,000 from $243,500 in the previous month.
Sales rose in two of the four regions of the country in the month.
Sales in the Northeast slumped 7.9% to 35,000 from 38,000 the previous month, while the West saw an 11.6% decrease in sales to 114,000 new homes sales after 129,000 homes sold the previous month. In the Midwest sales gained 5.1% to 82,000 homes from 78,000 a month earlier. In the South sales rose 0.4% to 281,000 homes sold, from 280,000 the prior month.
