Market for newly built homes slows as elevated mortgage rates put off many home shoppers

Reported 12 months ago

Sales of new U.S. homes fell in April and May by 7.7% and 16.5% respectively from a year earlier, with last month's sales dropping to a slow pace of 619,000 units. The average 30-year mortgage rate around 7% has discouraged home shoppers, resulting in a slowdown in new home sales. Homebuilders have offered incentives to attract buyers amidst the elevated rates, with more new homes available and a decrease in median sale prices in May.

Source: YAHOO

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