Unexpected Decline In March New Home Purchases

Fewer people than expected bought new homes in the US in March, marking the third straight month of decline in new home sales.

Demand in the West plummeted nearly 24%, and sales fell in the region to match the weakest pace since July 2014, while total sales nationwide decreased 1.5% to a 511,000 annualized pace, Bloomberg reports.

While the numbers may seem bleak, “The overall picture is still pretty good,” says Tom Simons, a money market economist at Jefferies in NY.

And while the western market undeniably suffered, sales in the South climbed 5% to their strongest levels in over a year, while the Northeast was unchanged. Sales also jumped 18.5% in the Midwest—the first gain in the region in three months. [Bloomberg]

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