Sales of new single‐family houses in April were at a seasonally adjusted annual rate of 683,000, according to estimates from the U.S. Census Bureau and the Department of Housing and Urban Development. This is 4.1% above the revised March rate of 656,000 and 11.8% above the April 2022 estimate of 611,000.
The median sales price of new houses sold in April was $420,800 while average sales price was $501,000. The seasonally adjusted estimate of new houses for sale at the end of April was 433,000, which represents a supply of 7.6 months at the current sales rate.
However, the new single-family homes being sold are mostly on the smaller side. According to an analysis by the National Association of Home Builders (NAHB) of first quarter 2023 Census data, the median single-family square floor area registered at 2,261 square feet. The average (mean) square footage for new single-family homes stood at 2,469 square feet.
“Home size rose from 2009 to 2015 as entry-level new construction lost market share,” said NAHB Chief Economist Robert Dietz. “Home size declined between 2016 and 2020 as more starter homes were developed. After a brief increase during the post-Covid building boom, home size is trending lower and will likely do so as housing affordability remains constrained.”