October 2023 Residential Sales and Homebuilders Update

We’re basically moving along the established trend. This month had a bit of downward noise, but the basic trends remain intact.

Figure 1 shows new home sales, homes for sale, and months of inventory for sale. Months of inventory is still slightly elevated by supply chain constraints, but those appear to be finally working out of the system. Sales have had a slightly positive trend since the bottom in early 2022, and as supply chains normalize, that should continue. with new homes for sale finally scaling higher along with it once homes under construction settles in on the normal production timeframe.

Figure 1