Inventory surge pushes U.S. single-family sales to 8% July decline

Posted on August 27, 2025   |  

US new single-family home sales fell to 652,000 units in July 2025, an 8% drop from July 2024 and slightly below June’s pace.

Housing inventory rose to 499,000 units, a 7% increase year-over-year, equal to a 9.2 month supply, up from 7.9 months a year earlier.

The median new home price slipped 6 percent to $403,800, while the average price dropped 5% to $487,300 — the third straight month of annual price declines.

Regional sales shifts: South -4 percent, Midwest +5%, Northeast -24%, West -20%.

Homes sold were mostly priced between $400,000 and $599,999 (54% combined), while just 3% exceeded $1 million.

Inventory mix included 111,000 not yet started, 267,000 under construction, and 121,000 completed homes.