New Home Sales Jump Ahead Of Mortgage Rate Spike Led My Midwest Surge

Soaring homebuilder confidence, crashing mortgage applications, spiking mortgage rates, weak pending home sales, strong existing home sales, and now new home sales for November surged 5.2% MoM (smashing expectation of a 2.1% rise). Take your pick of the US housing 'recovery' narrative.

The jump to 592k SAAR new home sales in November (from an unrevised 575k) obviously lags the spike in mortgage rates and collapse in mortgage applications...

 

The jump in sales was dominated by a 43.8% spike MoM in The Midwest, but The South saw new home sales drop MoM for the 4th month in a row.

The median price rose to $305,400, but remains slioghtly below September's record high...