Washington, DC, July 27--New home sales in June rose 4% to a record 1.37 million, as a seasonally adjusted annual rate, according to a Commerce Department report. Sales during the month broke the previous record of 1.32 million, which was set in May.
Economists had estimated June sales to come in lower at 1.29 million units.
The inventory of unsold homes on the market rose by 2.5% to a record 454,000, but represents a 4.0-month supply at the strong June sales pace. This is down from a 4.1-month supply in May. The inventory level had spiked at a 4.4-month supply in February.
The median price of a new home fell 5.5% in June to $214,800 from the previous month. The median price is down 0.4% in the past year.
Regionally, sales rose in all four regions of the country during the month. Sales in the South climbed 5.1% to a 640,000 annual rate. Sales increased about 7.2% in the Northeast, 2.1% in the Midwest and about 2.8% in the West.
