New Home Sales October, 2012

October new home sales came in far below expectations of 390,000 SAAR at 368,000 which is down (0.3%) from September. Adding to the weak report is the September data was revised lower from originally 389,000 SAAR to 369,000.  October is a Q4 GDP data point so it will not impact tomorrow’s GDP release but September will and in a negative way. October would also include the Fed’s purchase of MBS which should have aided the housing market.

Diana Olick discusses the report in this short CNBC video below. She raises an important point how the price