New-Home Sales Crumble
Sales of new homes reached a nearly 13-year low in December, falling 4.7% from November and almost 41% from the year-ago period.
The Census Bureau said Monday that sales of new single-family homes in December were at a seasonally adjusted annual rate of 604,000 units, compared with a downwardly revised 634,000 in November. In December 2006, home sales were at a rate of 1.02 million units.
The December data were well worse than economists' expectation for a selling rate of 645,000 homes, based on data from Reuters. The figures marked the lowest sales pace since February 1995.
Prices also slid, with the median home price reaching $219,200 in December. In November, the median price of a new house was $239,100.
Housing Gloom Opens Door for Bigger Rate Cut
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