Increased new home sales often indicate strong consumer confidence, greater employment, and accessible financing. Conversely, declines suggest waning buyer interest, affordability issues, or economic stress.
A new home is defined by the U.S. Census Bureau as a single-family house that is being sold for the first time. Since new home sales are recorded early in the sales process, trends in new home sales can signal coming shifts in the broader housing market, forecasting changes before they appear in existing home sales data.
For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing.
