Mortgage Rate Headwinds, Hurricanes Take Steam Out of U.S. New Home Market
As expected, October 2024′s rebound in mortgage rates helped take steam out of the U.S. new home market.
The 30-year conventional fixed rate mortgage rose from 6.08% at the end of September 2024 to 6.72% at the end of October. The sales of new homes plummeted to a two-year low, which was further aggravated by the disruption of hurricanes in the southern U.S.
At the same time, new home prices “surged to new record-high average and median prices“.
The median sales price of new houses sold in October 2024 was at a new record high of $437,300, up from $426,800 in September. Additionally, average sales prices rose to a new record high of $545,800 from $509,900.
The overall effect of reduced sales beat out higher sale prices in driving October 2024′s market cap for new homes. Our initial estimate of the time-shifted trailing twelve month average of the total value of new homes sold during the month is $29.27 billion, which falls below September 2024′s revised market cap estimate of $29.85 billion. Downward revisions in previous months confirm the U.S. new home market cap remains below its December 2020 peak.
The three following charts present the trends for the U.S. new home market capitalization, the number of new home sales, and their sale prices as measured by their time-shifted, trailing twelve month averages from January 1976 through October 2024.
New home sales stalls:
Prices remain elevated, not falling:
Mortgage rates have remained above the level they reached at the end of October 2024, so the headwinds for the U.S. new home market will likely continue. The absence of additional disruption from hurricanes however should contribute to more positive months ahead.
References
U.S. Census Bureau. New Residential Sales Historical Data. Houses Sold. [Excel Spreadsheet]. Accessed 27 November 2024.
U.S. Census Bureau. New Residential Sales Historical Data. Median and Average Sale Price of Houses Sold. [Excel Spreadsheet]. Accessed 27 November 2024.
Image credit: Microsoft Copilot Designer. Prompt: “A new home in a wind storm“.
Source: https://politicalcalculations.blogspot.com/2024/12/mortgage-rate-headwinds-hurricanes-take.html
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world. Anyone can join. Anyone can contribute. Anyone can become informed about their world. "United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
LION'S MANE PRODUCT
Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules
Mushrooms are having a moment. One fabulous fungus in particular, lion’s mane, may help improve memory, depression and anxiety symptoms. They are also an excellent source of nutrients that show promise as a therapy for dementia, and other neurodegenerative diseases. If you’re living with anxiety or depression, you may be curious about all the therapy options out there — including the natural ones.Our Lion’s Mane WHOLE MIND Nootropic Blend has been formulated to utilize the potency of Lion’s mane but also include the benefits of four other Highly Beneficial Mushrooms. Synergistically, they work together to Build your health through improving cognitive function and immunity regardless of your age. Our Nootropic not only improves your Cognitive Function and Activates your Immune System, but it benefits growth of Essential Gut Flora, further enhancing your Vitality.
Our Formula includes: Lion’s Mane Mushrooms which Increase Brain Power through nerve growth, lessen anxiety, reduce depression, and improve concentration. Its an excellent adaptogen, promotes sleep and improves immunity. Shiitake Mushrooms which Fight cancer cells and infectious disease, boost the immune system, promotes brain function, and serves as a source of B vitamins. Maitake Mushrooms which regulate blood sugar levels of diabetics, reduce hypertension and boosts the immune system. Reishi Mushrooms which Fight inflammation, liver disease, fatigue, tumor growth and cancer. They Improve skin disorders and soothes digestive problems, stomach ulcers and leaky gut syndrome. Chaga Mushrooms which have anti-aging effects, boost immune function, improve stamina and athletic performance, even act as a natural aphrodisiac, fighting diabetes and improving liver function. Try Our Lion’s Mane WHOLE MIND Nootropic Blend 60 Capsules Today. Be 100% Satisfied or Receive a Full Money Back Guarantee. Order Yours Today by Following This Link.
| Online: | |
| Visits: | 1,659,524,841 |
| Stories: | 8,305,290 |
Whistler Blowers, Insiders
