The National Association of Home Builders (NAHB) announced that sales of new single-family homes increased by 10.6% in July, reaching a seasonally adjusted annual rate of 739,000. This rise follows substantial upward revisions to the sales data for June.

According to NAHB, new home sales in July increased by 5.6% compared to the same month last year. After revisions to the data for May and June, sales from January through July 2024 are up 2.6% compared to the same period in 2023. A new home sale is recorded when a sales contract is signed or a deposit is accepted, regardless of the construction stage. The seasonally adjusted rate for July was 739,000 units, indicating the number of homes that would sell over the next year if the current pace continued.

"Despite the monthly bump in new home sales data, higher rates continue to sideline buyers as housing affordability challenges remain," said Carl Harris, chairman of NAHB. "The only sustainable way to ease high housing costs is to implement policies that allow builders to construct more attainable, affordable housing."

Carl Harris, chairman of NAHB | NAHB

In July, the inventory of new single-family homes slightly decreased to 462,000 units, a 1.1% drop from the previous month, representing a 7.5-month supply at the current sales pace. Although this level of supply is above the typical balance of six months, the overall home inventory, including both new and existing homes, remains low at about 4.5 months.

NAHB is an organization that represents home builders and related professionals at local, state, and national levels. It focuses on providing education, networking opportunities, and expertise to its members. NAHB also engages in advocacy to influence policies and regulations affecting the housing industry. Additionally, the organization offers cost-saving benefits to its members through various programs and services.