New home sales fell by 32.7% in May. The plunge was worse than the consensus expectation for a drop in new home sales, though short of the most worst forecast.
The year over year plunge in new homes sales was 18%.
Also, reported yesterday, sales of previously occupied homes dipped in May, even though buyers could receive government tax credits. And nearly a third of sales in May were from foreclosures or other distressed properties. The National Association of Realtors said last month’s sales fell 2.2 percent from the previous month to a seasonally adjusted annual rate of 5.66 million.
