WASHINGTON (AP) — The number of Americans buying new homes plummeted in March to the slowest pace in eight months, a sign that real estate’s spring buying season is off to a weak start.
The Commerce Department said Wednesday that sales of new homes declined 14.5% last month to a seasonally adjusted annual rate of 384,000. That was the second straight monthly decline and the lowest rate since July 2013. Sales plunged in the Midwest, South and West in March. But they rebounded in the Northeast, where snowstorms in previous months curtailed purchases. New-home sales have declined 13.3% over the past 12 months.
The U.S. Census Bureau and the Department of Housing and Urban Development also jointly announced the following new residential construction statistics for March 2014:
BUILDING PERMITS
Privately-owned housing units authorized by building permits in March were at a seasonally adjusted annual rate of 990,000. This is 2.4 percent (±1.0%) below the revised February rate of 1,014,000, but is 11.2 percent (±1.1%) above the March 2013 estimate of 890,000.
Single-family authorizations in March were at a rate of 592,000; this is 0.5 percent (±1.0%)* above the revised February figure of 589,000. Authorizations of units in buildings with five units or more were at a rate of 370,000 in March.
HOUSING STARTS
Privately-owned housing starts in March were at a seasonally adjusted annual rate of 946,000. This is 2.8 percent (±14.7%)* above the revised February estimate of 920,000, but is 5.9 percent (±8.4%)* below the March 2013 rate of 1,005,000.
Single-family housing starts in March were at a rate of 635,000; this is 6.0 percent (±15.5%)* above the revised February figure of 599,000. The March rate for units in buildings with five units or more was 292,000.
HOUSING COMPLETIONS
Privately-owned housing completions in March were at a seasonally adjusted annual rate of 872,000. This is 0.2 percent (±13.2%)* below the revised February estimate of 874,000, but is 7.7 percent (±14.3%)* above the March 2013 rate of 810,000.
Single-family housing completions in March were at a rate of 602,000; this is 3.8 percent (±12.6%)* below the revised February rate of 626,000. The March rate for units in buildings with five units or more was 258,000.