Sales of new, single-family homes jumped 7.6 percent in May from April to 369,000. While still a historical low, May’s new-home sales number is a nearly 20 percent increase from one year ago, according to U.S. Census data. Of the total, 41,000 sales were in the Northeast region; 42,000 were in the Midwest; 204,000 were in the South; and 82,000 were in the West. Experts note that increased demand for new housing will be tempered by lack of available credit to builders.
The Northeast region saw 36.7 percent growth from April and grew more than 1.25 times from a year ago. The South also experienced growth, measuring 12.7 percent from April and 16.6 percent from a year ago. The Midwest and West regions saw month-to-month declines of 10.6 percent and 3.5 percent, respectively, but grew by 2.4 percent (Midwest) and 10.8 percent (West) for the year.