New single-family home sales fell 28.5% year-over-year in October, from 396,000 in October 2009. Month-over-month, the decline was 8.1%:
New home sales tumbled in October while the median home price dropped to the lowest point in seven years.Building permits are down 4.2% year-over-year.
Sales of new single-family homes declined 8.1 percent to a seasonally adjusted annual rate of 283,000 units in October, the Commerce Department reported Wednesday.
It was the fourth time the sales rate has dropped in the past six months. New home sales are just 2.9 percent above August's pace of 275,000 units — the lowest level on records dating back to 1963.
Top 10 cities where home prices have improved most (or fallen least) in the past year
Many economists believe it could take three years for the industry to get back to a healthy annual rate of sales of around 600,000 homes.
The median price of a home sold in October dipped to $194,900, the lowest level since October 2003.
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Wait until interest rates rise. Then you will see further price decreases.
ReplyDeleteWe should be pushing interest rates up now, but we're not... only prolonging the pain.
ReplyDeleteWTF!!! And with that, another bubble blog jumps the shark.
ReplyDeleteVery good. We're not going to work through all the excess inventory added in the bubble until we stop adding to it. Record low levels of new construction are part of that solution. --Jim A
ReplyDeleteThree years is perhaps the first realistic/reasonable estimate i've heard.
ReplyDeleteThe graphical representation is absolutely correct. The economy is still in crisis that is why there is less number of homes sold.
ReplyDelete