US new home sales fall more than expected in May

Sales of new US single-family homes declined more than expected in May, official data released on Thursday showed.

According to figures from the Commerce Department, new homes sales fell 6% from the revised April rate of 586,000 to a seasonally-adjusted annual rate of 551,000. Economists had been expecting a drop to 560,000.

April’s pace was revised down from 619,000.

Compared to the same month a year ago, sales were 8.7% higher, while the median price of a new home was $290,400, up 1% from the year before.