Sharp Decline in New Home Sales Amid Affordability Pressures
- brg_news_room
- Mar 18
- 1 min read
USA: New single-family home sales in the United States fell by 17.6% in January 2026 to a seasonally adjusted annual rate of 587,000, reflecting weaker demand driven by high costs, adverse weather and ongoing affordability challenges. Although mortgage rates averaged around 6.1%, economic uncertainty, elevated construction expenses and tariff concerns continued to weigh on the market. Builders are increasingly offering incentives such as price cuts and upgrades to attract buyers. Inventory levels rose slightly, creating a 9.7-month supply, while the median home price fell 6.8% year-on-year. Regional performance was mixed, with gains in the Midwest and South offset by declines in the Northeast and West.
Source: HBS Dealer
