The U.S. Census Bureau’s Quarterly Sales by Price and Financing report was a positive one to start off 2023. According to the findings, the share of new home sales backed by FHA reveals that the share of new home sales backed by FHA loans jumped from 8.4% to 11.7% in the first quarter of 2023. This is the biggest share we have seen since 2007 but is still lower than those before the post-Great Recession. 
As for conventional loans, those made up 76.1% of new home sales which is close to a 15-year high. VA-backed sales dropped to 3.9% which is the lowest we have seen since the last quarter in 2007. Cash new home sales were reported at 8.3% which is down from the previous quarter at 10.7%.
Cash sales made up a small portion of new home sales, however they made up a big part of existing home sales. The National Association of Realtors reported that all cash sales of existing homes made up 27% of the sales. This was March of 2023’s numbers which were down from the 28% reported in February 2023.
Financing percentages are also different by the median home sales prices. The national median sales price of new homes in the fourth quarter of 2022 was $436,800. The median sales price differed by the different types of financing. The median home sales price if financed by a conventional loan was $515,900, an FHA loan was $323,300, a VA loan was $392,500 and all cash was $448,300.
