By Order of the Peaky Blinders: New Home Sales Take a Tumble

The Sheets are on Fire (and Not in a Good Way)

Right so the Yanks are at it again. Figures came in about new single family homes – dropped 13.7% in May. Thirteen point bloody seven. That's like losing half a shipment of whiskey. They sold 623,000 units which on paper sounds impressive but that’s worse than last year. Worse than the six month average. Worse than a bloody pre war truce and worse than 2019. These numbers are ghost.

Wall Street Knows Bugger All

The so called experts on Wall Street? Expected 695,000 sales. Bunch of dreamers. They're like Polly trying to predict the winner at Epsom. This is based on signed contracts mind you so all that window shopping didn't amount to a hill of beans with these interest rates hanging around like unwanted guests at a wedding.

Seven Percent is a Mug's Game

Mortgage rates bouncing around 7%. Seven percent lads. That's daylight robbery. Even Arthur wouldn't be daft enough to pay that. One so called economist Bradley Saunders reckons buyer activity can only rise so far with rates like that. He’s not wrong. It’s like trying to run a race with bloody lead weights tied to your ankles.

Lennar Lowers KB Raises Pick a Side

Lennar one of these big builders they're lowering prices. Smart move if you ask me. But KB Home? They're raising them. Now that's either confidence or stupidity. Probably both. Like betting on a horse with three legs. Lennar's boss man Stuart Miller he's talking about a challenging economy lack of confidence. Truth is people are scared to put their necks on the line.

The Price is Wrong Bitch

The median price is $426,600. Three percent higher than last year. So slower sales higher prices. Makes sense right? Like a Shelby trusting the police. The market is a rigged game. The house always wins.

A Sea of Houses No Bloody Buyers

Supply is up. 507,000 new homes sitting empty. That's a 9.8 month supply. Highest it's been since 2009. Back when the world went properly mad. You can have ambition but without the right timing you're dead. This market is waiting for something to give. Until then keep your powder dry. And watch out for the razor in the apple.