Home Sales Still Big Concern In 2008

by Darren

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The home sales and construction market were big concerns in 2007, and that doesn’t seem likely to change in the new year. More carnage is expected in the housing market for two main reasons: credit is getting tougher to acquire and high foreclosure rates.

“There’s little reason to pop open any champagne corks,” said Michael Larson, a real-estate analyst at Weiss Research Inc.

To be sure, sales are down 20 percent from November 2006, underscoring the problems plaguing the housing sector.

Economists were calling for sales to either move up slightly or hold steady for November.

Home prices continued to sink.

The median price of a home sold last month was $210,200. That marked a 3.3 percent drop from a year ago. It was the fifth biggest annual decline on record. The median price is where half sell for more and half sell for less.

The situation differs as you travel the country. Areas where the bubble was pronounced are faring worse than other areas. At the current time, there is little reason for optimism concerning home sales.

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