Anyone shopping for a brand-new house in September walked into a market with plenty of choices and a price tag that stayed stubbornly high. The U.S. Census Bureau and the Department of Housing and Urban Development reported on October 27, 2026, that the median sale price of a new house was $400,400 in September, while 476,000 new houses were for sale.

That works out to 8.4 months of supply at the current sales pace, according to the Census Bureau’s New Residential Sales report for September 2026. The figures are preliminary.
Builders Are Sitting On 476,000 Houses And More Than Eight Months Of Inventory
The Census counted 476,000 new houses for sale at the end of September, seasonally adjusted. That is down 1.0% from August’s 481,000, a decline the Census calls statistically significant. It is also down 2.3% from the 487,000 of September 2025.
At the pace homes are selling, those houses equal 8.4 months of supply. In August the figure was 8.5 months, and a year earlier it was 8.2 months.
For a sense of scale, a market often described as balanced runs around five to six months of supply. Eight and a half months of new houses on the shelf means builders have a lot of product to move.
The $400,400 Median Price Jumped From August But Sits Below Last Year
The median sales price of new houses sold was $400,400. That is up 3.9% from August’s $385,400, and down 3.9% from September 2025’s $416,800.
The average price tells a similar story. It was $472,800, up 0.4% from August’s $470,800 and down 6.7% from $506,800 a year earlier.
Here is the important fine print. The Census says none of those price changes, from either the month before or the year before, is statistically significant, which means the swings are within the range the survey could produce by chance.
Sales Hold At A 676,000 Annual Pace
New houses sold at a seasonally adjusted annual rate of 676,000. That is 0.6% below August’s revised 680,000 and 5.3% below September 2025’s 714,000.
Again, the Census notes that neither change is statistically significant. In plain terms, the sales pace was roughly flat over the month and a little softer than a year ago.
Where The Sales Happened
The South dominates, as it usually does. The report shows 413,000 annualized sales in the South, 142,000 in the West, 89,000 in the Midwest and 32,000 in the Northeast.
Month-to-month, the West was up 21.4% and the Northeast up 28.0%, while the Midwest fell 7.3% and the South fell 6.6%. The confidence intervals on those regional changes are wide, so the Census data supports reading them as rough direction, not as a firm verdict.
What Buyers Can Do With A Market Like This
When builders hold this much inventory, buyers have a little more room to talk. That does not mean every builder will cut the price, but it is reasonable to ask what they will offer.
Here is a short list worth bringing to the sales office:
- Ask about incentives such as help with closing costs or a lower mortgage rate through the builder’s preferred lender, and get every promise in writing.
- Compare the price of a finished, move-in-ready house against one still to be built, since a house already completed can sometimes come with a better deal.
- Read the contract for the closing timeline, the allowances for flooring and fixtures, and what happens if the date slips.
Hire your own inspector, even for a new house. A new build can still have a loose duct, a missing insulation batt or a grading problem, and the best time to find it is before you sign off on the final walk-through.
Check the warranty too. Ask what the builder covers in the first year, what is covered for structure over a longer period, and how you make a claim.
Ask about the lot, too. Check what the builder charges for premium lots, upgrades and landscaping, since those extras are where a base price quietly grows.
Visit the community on a weekday evening and on a weekend. Notice the traffic, the noise and how many neighbors have moved in, because what you see in the sales model is not the same as living there.
A Median Is A Midpoint, Not A Sticker Price
The $400,400 figure is the middle of all new houses sold that month. Half sold for less and half sold for more, and the mix of homes that closed in a given month can move the median on its own.
So do not walk in expecting a four-bedroom for that number in every town. Prices vary enormously by region, lot size and finish level, and a modest starter home in the Midwest sits in a very different league from a large home out West.
If you are comparing a new house with an older one, look at the full monthly cost. Add property taxes, insurance, utilities and any association fees, then compare the whole bill rather than only the price on the sign.
The September numbers show a market with a lot of homes available and prices that have drifted slightly lower than a year ago. For a buyer with steady income and a firm budget, that is a market worth taking your time in.
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