Existing Home Sales Drop

January 25, 2010

soldAnother blow to the housing recovery.  Existing home sales fell in December by 16.7%.  The drop was much larger than anticipated. It was expected that sales would decline somewhat from November to December, because November was slated to be the last month for the federal government’s $8,000 tax credit for new homebuyers. But lawmakers extended that deadline through April 30th and added a new credit of up to $6,500 for some existing home owners who move. 

Positive Note

The median price of homes sold in December was $178,300, a 1.5% gain over December 2008. That was the first year-over-year gain in the median price since August 2007. Distressed properties made up 32% of the houses sold during the month.

Click here to read more at CNNMoney.com.