U.S. new-home sales drop
The figures follow a very strong May, where sales were upwardly revised by the government.
Barry Rutenberg, chairman of the National Association of Home Builders, said trends are still positive, despite the drop.
"While we would have liked to see a third consecutive month of new-home sales gains in June, the fact remains that the sales numbers are up on both a quarterly and yearly basis, while builders continue to report that they are seeing more serious buyers in the market for a newly constructed home with all of the latest updates," said Rutenberg, who is a home builder in Gainesville, Fla.
David Crowe, the NAHB’s chief economist, echoed Rutenberg’s comments.
"The lower number of new-home sales in June represents an adjustment from a robust level of activity in May, yet overall results for the second quarter show we are still on track for continued improvement," Crowe said. "That said, the very tight inventory of new homes for sale at this time poses a challenge to builders who'd like to have a larger selection for buyers to choose from but continue to confront issues with obtaining credit to build viable new projects."