New home sales surge
According to data from the U.S. Census Bureau and the Department of Housing and Urban Development, new home sales surged from February to March. New homes sales increased 8.8% in March 2024 when compared to February 2024. Sales of new homes were also up 8.3% on a year-over-year chart.
Also, the median sales price of a new home was about $430,700 in March. This is actually down about 1.8% from last year. The decrease was partially attributed to home builders focusing on smaller, more affordable units to appeal to buyers focused on price.
Gregg Logan, managing director of RCLCO Real Estate Consulting, stated, “The willingness of the major homebuilders to utilize incentives such as price reductions, mortgage rate buy-downs, and paying buyers’ closings costs continues to support a healthy pace of new-home sales.”
Where are mortgage rates at ahead of inflation data?
The national average for a 30-year, fixed-rate mortgage rate dipped 0.05% to 7.38%* on Tuesday. This is the lowest point the national average for a 30-year, fixed-rate mortgage rate in the past week.
The market is waiting for inflation data on Friday. Inflation data will give an indication of how hawkish or dove-ish the Federal Reserve will sound at their press conference next week.
Where is home inventory on the increase?
A recent article from FastCompany.com detailed the states that have seen an increase or decrease in housing inventory over the past year.
The state with the greatest increase in available home inventory? Florida. The sunshine state had 57% more active listings in March 2024 than it did in March 2023. Alabama, Mississippi, South Carolina, North Carolina, and Texas have all seen increases of 30% or more over the past year.
When it comes to decreases only four states in the U.S. have seen a decrease in housing inventory. Nevada is down 26% year-over-year. Illinois was down 5%, New York was down about 4% and New Jersey was just slightly lower.
However, the entire nation is still well below pre-pandemic housing market inventory.
* National average rates accurate as of 4/23/24 from MortgageNewsDaily.com and are not advertised rates from Guaranteed Rate.
Pre-Approval
in 10 minutes?
in under 10 minutes. Grab a few important documents to get started.
- Tax Returns
- Copies of W-2s (or 1099s for independent contractors,
freelancers and the self-employed) - A payroll stub
- A bank statement
- Loan obligation info (student loans,
auto loans and credit cards)
Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Restrictions may apply.
All information provided in this publication is for informational and educational purposes only, and in no way is any of the content contained herein to be construed as financial, investment, or legal advice or instruction. Guaranteed Rate does not guarantee the quality, accuracy, completeness or timelines of the information in this publication. While efforts are made to verify the information provided, the information should not be assumed to be error-free. Some information in the publication may have been provided by third parties and has not necessarily been verified by Guaranteed Rate. Guaranteed Rate its affiliates and subsidiaries do not assume any liability for the information contained herein, be it direct, indirect, consequential, special, or exemplary, or other damages whatsoever and howsoever caused, arising out of or in connection with the use of this publication or in reliance on the information, including any personal or pecuniary loss, whether the action is in contract, tort (including negligence) or other tortious action.
