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Today the Census Bureaus new home sales report came in as a beat of estimates at 811,000. The headline beat surprised many people, but the report’s internals show negative revisions for the previous months. The bearish take on housing for the second half of 2021 didn’t really pan out, especially in the new home sales sector.

What I believe occurred is that some housing investors took the decline in builders confidence and the increase in monthly supply to push that something bad was going to occur quickly. In reality, as we talked about many times on HousingWire, housing data was going to moderate, find a base and work from that COVID-19 surge in the data.