U.S. saw a 12.6% decline in new single-family homes sales in July due to high mortgage and construction rates

In July, the sales of newly built, single-family homes fell by 12.6%% to a 511,000 seasonally adjusted annual rate, and compared to 2021 new home sales are down 29.6%.
The high mortgage rates and construction costs are driving consumers out of the market, especially entry-level buyers, indicating the recession.
New single-family home inventory is at a high of 10.9 months’ supply, which is an increase of 81.7% over last year, with 464,000 available for sale.
However, only 45,000 of the new home inventory is completed and ready to occupy, and the remaining have not started construction.
In July, the average sales price grew by 5.9% to $439,400 compared to June and 8.2% compared to a year ago.
The new home sales fell in the Northeast fell by 14.9%, in Midwest by 26.5%, in the South by 13.4%, and by 15.7% in the West.

Image: American Society of Home Inspectors

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