Net sales revisions for June and July were negative. In addition, year-over-year sales are negative.
Sales were down in the South, the West, and Northeast, so don't blame the hurricanes.
Economists Surprised Again
Economists were surprised by another month of weak new home sales.
The Econoday consensus estimate was 583,000 at a seasonally adjusted annualized rate (SAAR) but sales came in at 560,000 SAAR.
Weakness in the South pulled down new home sales in August as it did in last week's existing home sales report. New home sales fell sharply in the month to a 560,000 annualized rate vs an upward revised rate of 580,000 in July and a downward revised 614,000 in June (revisions total a net minus 7,000).