New Home Sales

The New Home Sales report shows the number of newly constructed homes with a committed sale during the month. It is compiled through nationwide survey of 10,000 builders/owners of 15,000 building projects and through sampling of permit-issuing offices, as well as land not covered by building permits. The data is timely and is used in conjunction with the existing home sales release from the National Association of Realtors. The level of new home sales indicates housing market trends, and economic momentum signaling consumer purchases of furniture and appliances. Simply, the volume of sales indicates housing demand. Also, the monthly supply of homes serves as an input into the level of housing pressure. However, when analyzing sales trends, one must remember to take into account unusual weather and seasonal effects. The New Home Sales report is scheduled for release at 9:00 (CST) at the end of every month by the Census Bureau.

POTENTIAL IMPACT ON INTEREST RATES: MODERATE