Rick Palacios Jr.: New U.S. homes selling below resale prices in rare trend

Rick Palacios Jr.: New U.S. homes selling below resale prices in rare trend
New homes priced below resales

Rick Palacios Jr. highlights that, on a national level, new homes in the U.S. are currently being sold at a discount compared to resale properties, a situation he describes as extremely rare.

He adds that while some of this discrepancy may be due to differences between new and resale homes, at a macro level, he is confident that this price trend will reverse in 2027 as homebuilders shift away from entry-level offerings with high incentives.

Palacios previously reported that Seattle's new home sales have fallen below levels seen after the subprime collapse, reflecting localized weakness in the sector (link). He also noted the 10-year Treasury yield hitting a new peak of 4.74 percent for 2026, adding to pressure on housing (link). These developments offer context for recent pricing shifts between new and resale homes.

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