New home sales up and existing home sales down…according to HanleyWood’s Key Indicater Alert today.

“New home sales increased slightly while existing home sales continued its downward spiral in October. New home sales increased 1.7% in October to a seasonally-adjusted 728,000 homes, up from a downwardly revised September figure of 716,000. Revised new home sales figures showed that sales were at their slowest pace in September since January 1996. At the current sales pace, there are 8.5 months of new homes supply on the market. Inventory levels continued to decline as builders have been scaling back production until the market stabilizes. The number of new homes for sale declined to 520,000 which is the lowest it’s been since December 2005. The median price for a new home plunged 8.6% from September levels to $217,800. Median new home prices are now at their lowest levels since September 2004.

Existing home sales declined for the eighth consecutive month as seasonally-adjusted sales of existing homes fell 1.2% in October to 4.97 million units. That is the lowest sales pace recorded since August 1998. Sales of existing homes are down 20.7% from the 6.27 million units in October 2006. Median existing home prices fell another 1.2% from September levels to $207,880; the median price is at its lowest levels since March 2005. Inventory of existing homes jumped to 10.8 months supply at the current sales pace, while the number of existing homes for sale increased 1.9% to 4.370 million units. Inventory of existing homes is at an all-time high.”

Hey in the current times any good news is GREAT news.

Other interesting news in the report:

“Inland Empire, CA - Despite Housing Slowdown Growth Remains Strong

Fueled by strong economic growth the Inland Empire has benefited from strong migration patterns from coastal areas. Drawn to the area by affordable homes and employment opportunities, the region’s population has been growing by 3.5% on average for the past five years”

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