Homebuyers Stay Engaged Despite Higher Mortgage Rates

Mortgage applications for newly built homes fell 5.7% year-over-year and 1% from June, with new single-family home sales estimated at a 647,000 annual rate, down 3% from June. Elevated inventory and higher mortgage rates contributed to weaker demand. In July, 54,000 new homes were sold, a 3.6% decrease from June. Conventional loans made up 50% of applications, with the average loan size slightly decreasing to $374,438.