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Oct. 10, 2007 - Home Sales, New And Existing, To Reach New Lows

The National Association of Realtors said today it expects new home sales to fall 24 percent this year, the lowest levels in 10 years. If new homes sales do fall to the predicted level of 804,000 units this year, that will mean a fall of almost 40 percent from the current record high reached just two years ago.

Meanwhile, the NAR expects existing homes to fall 11 percent this year to a five-year low. The trade group also expects new and existing home prices to drop in 2007. The median new home price may decline 2.1 percent to $241,400 and the median existing home price will drop 1.3 percent to $219,000.

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