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U.S. new home sales plunge 13.7% in May, hitting 623,000 annual rate
Posted on June 26, 2025 |
New single-family home sales in May 2025 fell to an annual rate of 623,000 units, down 13.7% from April and 6.3% below May 2024 levels.
Sales declined in 3 of 4 U.S. regions: the South dropped sharply by 21.0%, the West by 5.4%, and the Midwest by 7.1%.
The Northeast was the only region to see growth, with sales jumping 32.1% to 37,000 units.
New home inventory rose by 1.4% to 507,000 units, equal to a 9.8-month supply at the current sales pace.
Median new home prices increased to $426,600, up 3.7% from April and 3.0% from a year earlier.
The average sales price rose to $522,200, a 2.2% monthly and 4.6% annual increase, showing resilience in pricing.
This data comes from the U.S. Census Bureau and HUD, highlighting a mismatch between supply, demand, and pricing trends.