(RTTNews) - New home sales in the U.S. pulled back in September after a sharp increase in the previous month, according to a report released by the Commerce Department on Thursday.
The report said new home sales slid by 0.7 percent to an annual rate of 701,000 in September after spiking by 6.2 percent to a revised rate of 706,000 in August.
Economists had expected slump by 1.7 percent to a rate of 701,000 from the 713,000 originally reported for the previous month.
The modest pullback in new home sales came as home sales in the West and Northeast tumbled by 3.8 percent and 2.8 percent, respectively.
New home sales in the South also edged down by 0.2 percent, while new home sales in the Midwest surged up by 6.3 percent.
The Commerce Department also said the median sales price of new houses sold in September was $299,400, down 7.9 percent from $325,200 in August and down 8.8 percent from $328,300 in the same month a year ago.
The estimate of new houses for sale at the end of September was 321,000 compared to the 323,000 for sale at the end of August. The months of supply at the current sales rate was unchanged at 5.5.
On Tuesday, the National Association of Realtors released a separate report showing existing home sales pulled back by much more than anticipated in the month of September.
NAR said existing home sales plunged by 2.2 percent to an annual rate of 5.38 million in September after jumping by 1.5 percent to an upwardly revised 5.50 million in August.
Economists had expected existing home sales to drop by 0.7 percent to a rate of 5.45 million from the 5.49 million originally reported for the previous month.