New home sales fall more than expected as high mortgage level Question

Sales of new homes with a family with a family fell more than expected in May, as high mortgage demand destroyed demand, increasing the supply of UNSLDO’s houses in the market.

New home sales units fell 13.7% at an annual seasonal rate of 623,000 units last month, said the Department of Trade Registration Bureau on Wednesday.

April sales peace was reviewed lower at a rate of 722,000 units from 743,000 previously reported units.

Economists surveyed by Reuters had envisioned new home sales, which make up about 15% of US home sales, not accepting a rate of 693,000 units.

New sales of houses, which are calculated in signing a contract, are unstable on month per month and subject to major reviews.

They sat 6.3% based on one year a year in May.

The inventory of unsold houses in the market increased to 507,000 units, the highest level since 2007, from 500,000 in April.

Mortgage rates have remained at the same time as US Treasury yields amidst the economic uncertainty raised by President Trump’s tariffs, which have led the federal reserve to stop its interest rate reduction cycle.

Fed Chairman Jerome Powell told lawmakers on Tuesday that comprehensive import duties could begin to increase inflation this summer and repeated that the US Central Bank was not in a hurry to lower Bame levels.

Last week left standard stakeholder hits overnight in the range of 4.25% -4.50% where it has been since December.

The average rate of a well-known 30-year-old fixed mortgage was raised just less than 7% in May, showed data from Freddie Mac Mortgage Agency.

Government data last week showed permits for the future construction of apartments with a single family, fell into a two -year low in May, as builders fought with inventory overload and higher costs of two materials, including wood, steel and aluminum.

A study by the National Home Builders Association last week also showed a sense of home builders with a single family sat on a low 2-1/2 years in June.

NAHB reported an increase in the share of builders lowering prices to reduce inventory swelling, and predicting a decrease in housing with a single family begins this year.

Economists expect housing investments, which include home construction and sales, have contracted in the second quarter after a slight decrease in the January-March quarter.