The Mortgage Bankers Association (MBA) said today that applications for the purchase of newly constructed homes declined in November by about 18 percent from October levels.  The change does not include any adjustment for seasonal variations.

MBA's data comes from its Builder Application Survey conducted among mortgage subsidiaries of home builders across the country.  Using survey data as well as assumptions regarding market coverage MBS projects that sales of new homes were at a seasonally adjusted rate of 455,000 units in November.  On an unadjusted basis there were an estimated 32,000 sales.  Last month MBA reported an 11 percent decline in new home purchase applications in October and that new home sales were at an annual rate of 509,000 and about 40,000 units had sold during the month. 

Of November new home purchase applications 66.2 percent were for conventional loans and19.9 percent for FHA loans.  VA loans comprised 12.9 percent of the total and RHS/USDA loans 1.1 percent. The average loan size for new homes purchases increased from $294,480 in October to $295,523 in November.

MBA uses data from its Builder Application Survey and data from other sources to provide an early estimate of new home sales and the financing methods used by their buyers.  Official new home sales information is provided on a monthly basis by the Census Bureau based on purchase contract signings.