New Home Sales Fall 2.9%, Existing Down 8.6%


We’re still in the phase of the housing market where the only good news is that we must be nearing a bottom (eventually). Still no sign of an actualy floor:

Marketwatch: U.S. new home sales fell to their lowest level in over 17 years in November, the Commerce Department estimated Tuesday. New home sales fell 2.9% to a seasonally adjusted annual rate of 407,000. This is the lowest level since 401,000 in January 1991. New home sales are 35.3% below their level in November 2007. The drop was slightly above the 400,000 pace expected by economists surveyed by MarketWatch. New-home sales in October were revised to a 419,000 level compared with the previous estimate of 433,000.

Bloomberg: Sales of previously owned homes in the U.S. fell more than forecast in November and prices dropped by the most on record, indicating the real estate slump will extend into a fourth year and worsen the recession. Purchases declined 8.6 per cent to an annual rate of 4.49 million, from a 4.91 million rate in October that was less than previously estimated, the National Association of Realtors said today in Washington. The median price dropped 13.2 per cent from a year earlier, the biggest decline since records started in 1968. Separately, the Commerce Department reported today that new-home sales fell 2.9 per cent last month.

More analysis of the numbers as we get it.